al NEW INSIGHTS into BUSINESS Graham Tullis Tonya Trappe STUDENTS’ BOOK - 7 : " ‘NEW INSIGHTS into —————_ BUSINESS Graham Tullis Tonya Trappe We would like to dedicate this book to the memory of our co-author and close friend Michael Lannon.Contents Lead-in Reading Vocabulary Language _ Skills Focus development Focus Ti Listening —The ‘The Philips Story’___Verbs and prepositions resent perfect Ustening - Describing depanmens ina (onewnews phils com) and past simple responsible ina company: Pat Company ett Company profle Describing Set en ae Structures Philips organisation changes ‘Speaking - Describing jobs; poge4 ed preseting companies Witting - A company profile Reading insite ‘RForing? S Mnd Conpaundnouss retnsimpe ering Alb adetsenet ‘career opportnities Mater and preent Writing ~The CV and letter of Recruitment —(#necrgnexcom),—_ (Nev York Times) continuous Mela page 14 Recruitment techniques LUstening- Selecting candidates Dictionary hls andj interviews Speaking — Role-play of job interview LUstening—Jonet___‘Richer Picking! ‘Compound nouns Mate and do Ustening ~ Store layout Moore, a etal (Gusines) a Meng kanes Retailing specalit Prof oth han nage i Peis Richer Sounds Wiring - A consumer survey report Ure! Listening — “One dy in my life’ Suffixes vers Reading - Bang & Olsen [busines adviser on (Unversity of Warwick Cede dosbe tanh roche Franchising ‘ena Netra ted fo dng, Ustening Janis Ericson, & poge 34 Profle of Vanesa Stin, Dunkin” Donuts franchisee a MeDonads tanchisee Speaking ~ Choesing & franchise ‘ting ~ An e-mail message ppg for franchise information Reading & “Leaming to cope with refies “The imperative Witing A memo fe Derr ed ned ea Ajecver ot Usteing Doing busines in International Ssaerene heli rationality, Japan: Tomomi Morivake Business Styles Counies Ce Nn & Speaking ~ Ching and sing fr page 44 Intemational Bring ce coer cual coring Review 1 page s4 Tistening Eleanor Picture the Scene’ Abbreviations “lon, enable et Business Skis Focus Negotat Steven, branch (Banko cond Feed ee eas na = Banking ede aces ceondtonl negotiator?” page 56 OBS Home and otce i ecient Lstening ~ Negotiating a bank oan documents Roleplay ~ Negotiating a bank loan Waiting —A short report Speaking - ‘Proven environmental Word building Expresing contrast Ustening A Body Shop Environmental commitment helps ae customer survey Business ean nee = Speaking = Convincing sponsor and the Inenvionmenil (Marketing News) Writing — A letter of request Environment stars Profle of cating poge 65 manufacturer Patagonia Reading Headlines ‘Europeans Lag On to Phas verbs 1 The third Reading -Anabsng shar price from the neni tnvestment Fever conditions istings The Stock pres (ew Yok Tne) Yet stil okeody _Ustening - Arado stock market GEREE Lining vba) at re deing report lendelon explains page 74 eee L Speaking - Buying shares ae Univerzita Mateja Bela Wie nahh Fakta financit aa ae KNIZNICA waaha 10-1Contents Lead-in Reading Vocabulary Language _ Skills Focus development Focus Ea Aisi iy) tie Saco of) compaind | Thee!” Untangle: eos ‘countries trade: an Belgium’ adjectives 1 Describing trends of exports based on graphs: Import Export —&€Deconomist (The Financial Ties) Reading - The bill of lading pases Reading & Speaking Sreiking into new st cetetenes outs ~European Union export martes feet ee ouiz Speaking Completing a graph Caran Ustening — ‘anatomy of an annual Nouns and Fractions and Bins Skis Focus: Presentations Deparment of report preponions pranoe-~ydie aerate Company cewatrhouse (BM Guide fo Imbert aks about the Performance “°° need fharmaceutal seor ond es 8 Description ofthe Shor presentation pam $8. sections of an annual pee Speaking ~ ling a presentation on vor ting - company ep on Vora Review 2 page 104 Speaking — “The ea man Pres Relative davies Speatng - Qvewtonnae: How davantages and (The Wl Stet four do you teas an etepreneu” ‘Sete Ores nas 5 oer aoe Lustening - How the right a Business company eae Roe ote, company Cargo tae poge 106 Staring 3 busines ing ~ bine pan Reading -Scrcs “When goody Pal verbs2—«Modh verbs of Be ShileFocus esting from the inancal (The European) coin leg A eee Corporate Pres Wy merger and serosa more Alliances and Seerina Nagas sitions et Speating The nguge of Acquisitions frayersuonten bes age 116 enol and Volo Roleplay A meeting aaa ‘Writing - Minutes of a meeting Case Listening Mitary Helo othe good buys’ Compound Comparion Reading = Dect ail mara ‘ metaphors (onmeseicom) Setar? Fepoted Pec) Wrting "a det mal mating Marketing spestingwatili{3 1 sun cine teuer page 125 recor tecaques —resench project Unit 14 Speaing - “sctege’ Uses fie Gerund and _—_Usteing A description a deverting media (The European) wart Gitte T commercial Product and Reading Advertsing controversial ‘The article Discussion - Designing a TV Corporate shogane overngcampsign commer Advertising Seeing ing se ora trove commercial 14 ee ome ‘Speaking - Presenting a scenario Tg i ek a RR ties pani =A bn cxectve descibes __Inermation Machin” pariipe tes bul The Business Besmtary pais: (Nev Yor Tien Nous Revdng~ Bs vn aries Media Michal oberg and spate hentai Va page 144 ie busines news bulletin ‘Communication Activities page 154 Review 3 page 152 Grammar Reference page 164 ‘Writing - Busines news reports Role-play —A radio business ews buletin Word List page 1721 Company Structures Key vocabulary © Most companies are made up of three groups of people: the shareholders (who provide the capital), the management and the workforce. The management structure of a typical company is shown in this organisation chart. AAARA Board of Directors | & Managing Director ee ee AARAA Senior management oe 1 AARAAAAAAA Middle management At the top of the company hierarchy is the Board of Directors, headed by the Chairperson or President. The Board is responsible for policy decisions and strategy. It will usually appoint a Managing Director or Chief Executive Officer, who has ‘overall responsibility for the running of the business. Senior managers or company officers head the various departments or functions within the company, which may include the following. a Marketing e Finance b Public Relations f Production ‘€ Information Technology or IT g__ Research and Development or R and D Personnel or Human Resourcesgo Corporate Departments Company Structures 1 © Listen to seven people talking about their work and decide which department each one works for. 4 5 1 20 30 2 Philips is a major multinational company which has almost 30,000 trademarks registered worldwide. In groups, study the organisation chart below. PHILIPS Leté make things better PRESIDENT BOARD OF MANAGEMENT (in charge of company stratogy an gons policy.) SUPERVISORY BOARD GROUP MANAGEMENT COMMITTEE ‘Responsible for the “Makes sure policy is implemented goneral course of business. ‘and advises the board of management.) E Finance: ‘Accounting & Control Sectors Information Technology Human Resource ‘Management Match these products to the sectors below which they come from. faxes ‘mobile computing products Legal Affairs X-ray equipment ‘Communication and |" Public Relations hairdryers lamps Philips Business Electronics Products includ “a digital vide communications systems "1 1 speech processing Philips Components Philips Consumer Electronics | Products include: 1 display components 1 general systems ‘components Products include: 1 video: TV, VCR digital video DVD, internet, digital TV, digital cameras '= mobile phones | 3 mobile computing pied te Philips Domestic Appliances ‘and Personal Care Products include: personal care: shavers, 2 1 domestic appliances: vacuum cleaners, food processors, blenders, coffee makers [Philips Lighting Products include: m4 | lighting electronics and gear Philips Medical Systems Products include: Products, a5 . ‘ultrasound = omergi ilps Semiconductors lecom terminals include: ing business e.g. TrimediaNia Reading 1 Before reading the text below about Philips, decide whether you think these statements are true (I) or false (F). 1 Itis the world’s second biggest electronics company. It has produced over 100 million TV sets. Its headquarters are in Amsterdam. It was the first company to produce compact discs. It is active in a small number of specialised businesses. It provides the lights for famous landmarks such as London's Tower Bridge. o00000 aan ken Read the text and check your answers. 442 @ fioed Home Search Netscape ve Bok Forward a + images Print s 2 serty Step neste: [ti anmcnewsphipcom The Philips Story The Philips People 1 The foundations ofthe world’s biggest electronics company were laid in 1891 when Gerard Philips estabished a company in Eindhoven, the Netherlands, to manufactur light bulbs and other electrical products. In the a Royal Pips Electronic is managed by the Board of Management, wich looks ater the general direction and long-term strategy ofthe Philips group as a whole. The Supervisory Board monitors the general course beginning t concentrated on making carbon flament lamps and by the turn ‘5 of the century was one ofthe largest producers in Europe. Developments in ‘new lighting technologies fuelled a steady programme of expansion and, in 1914, established a research laboratory to stimulate produc innovation, In the 1920s, Philips decided to protect its innovations in X-ray radiation and radio reception with patents. This marked the beginning of the diversification 10 ofits product range. Since then, Philips has continued to develop new and 4? ‘exating product ideas lke the compact dsc, which i launched in |983, (Other interesting landmarks include the production of Phiips' |00-milionth TV set in 1984 and 250-milionth Phiishave electric shaver in 1989. of business ofthe Philips group as well as 1 advising the Board of Management and supervising its polices. These poties are implemented by the Group Management Committe, which consists ofthe members of the Board of Management, chaitmen of ‘most ofthe product divisions and some other key ofcers. The Group Management Committe aso serves ‘tp ensure that business issues and 4 practices are shared across the various activites in the group. ‘The company cred is ‘Let’ make things better’. is committed to making better product and systems and contributing 0 ienproving the quality of people's work and We (One recent example of tis i ts ‘Genie ‘mobile phone. To dl a number you just have to say aloud. Is Web TV Interet terminal brings the excitement of cyberspace into the living room. And on travels around the wor, whether passing the Eifel Tower n Pars, wang ross London's Tower Bridge. or winessng the beauty ofthe ancert pyramics of Giza, you dort have to wonder any more who it these werd 0 famous landmarks, t was Pris The Philips Company 15 Philips’ headquarters are sin Endhoven. It employs 256,400 people all ver the world, and has sales and service outets in 150 countries. Research laboratories 20 are located in x courts, stalled by some 3,000 scents Iralso has an impressive global network of some 400 designers spread over twenty-five locations. ts 25. shares ae isted on sinteen stock exchanges in rine countries and itis acve in about 100 businesses, including lighting, monitors, Shavers and colour picture tubes; each day its factories tum out a total of 90 milion integrated creuits http:/fvwwnews.philips.comVocabulary Company Structures 2 Read ‘The Philips Story’ again. Why are these dates important? a 1891 b 1914 € the 1920s d 1983 e 1984 3 Read ‘The Philips Company’ again and find the figures that correspond to the following pieces of information. Example: The approximate number of designers working for Philips: 400 1 The number of people working for Philips worldwide 2. The number of countries with sales and service outlets 3. The number of countries where Philips has research facilities 4 The approximate number of scientists working in Philips’ research laboratories 5. The number of integrated circuits produced every day Practise reading the figures aloud. © Listen to the cassette and check your pronunciation. 4 © Listen and write down the numbers you he: 1 3 Ss 7 2 ee gee 6) eG 1 Match the words from the text with their corresponding definitions. 1. an innovation (line 8) aa planned series of actions 2 a patent (line 9) main offices 3. diversification (line 9) a place or address 4 a range (line 10) the introduction of a new idea 5 headquarters (line 15) 4 selection or series 6 a location (line 24) making different types of products 7 a strategy (line 32) an agreed course of action 8 a policy (line 36) the right to make or sell an invention, Fa menog 2 im pairs, replace the words in italics with the words used in the text. 1 Gerard Philips set up (¢ $€ ab\i¢hed) a company in Eindhoven. 2. The company initially specialised in (c_ == —_) making carbon. filament lamps. 3. Developments in new lighting technologies fuelled a steady plan for growth cs _-ofe_ “2. 4. In 1983 it introduced (1 =~) the compact disc onto the market. 5. Fach day its factories produce (t ©.) total of 50 million integrated circuits. 6 Royal Philips Electronics is run (m __ __ __) by the Board of Management. 7 The Supervisory Board carefully watches (m _ ______) the general course of business. 8 Policies are put into practice (i _ _~ ~~) by the Group Management Committee. 9 The Group Management Committee consists of members of the Board of Management and chairmen of most of the product sectors (4_ . 10. The Group Management Committee serves to ensure that important matters (@____) and ways of doing business (p __ ) are shared across the company. ‘Now check your answers with the text.Vocabulary development: verbs and 3 Complete the passage using words from Vocabulary 1 and 2 in the correct form. The key to Philips’ success can be described by two words. The frst is 1 innovakion ; the company designers are continually developing and creating new products. The second is 2 Philips is active in about 100 businesses varying from consumer electronics to domestic appliances and from security systems to semiconductors. With such a wide >_ of products the ‘company needs a complex system of management. Each product * has its own chairman; most of these chairmen are members of the Group ‘Management Committee, which ___ all company decisions and plans. ‘The Supervisory Board & the general business of the group and it also advises and supervises the Board of Management. Some verbs are always followed by the same from the text on page 6. In the beginning, it concentrated on making carbon-4 (When a preposition is followed by a verb it always, These policies are implemented by the Group Management Committ consists of the members of the Board of Management. (line 39) 1 Match the prepositions with the verbs below. from in (x3) to(x4) for of on (x2) apply ko somebody foc something benefit __ approve __ result believe __ cane 2 Complete the sentences the correct form. In the purchasing department there is a manager, and five employees who to her. b In this company, we firmly ___ the value of creativity and innovation. 1g verbs and prepositions from exercise 1 in at least one of the company’s that we would all use the office software. sing the verb and prepositionPresent perfect and past simple Practice Company Structures Language Focus Look at these sentences from the text on page 6. A In the 1920s, Philips decided to protect its innovations. B Since then, Philips has continued to develop new and exciting product ideas. 1 What tense is the verb in bold in A and B? 2 Which tense has a connection with the present? 3. Which tense only tells us about the past? >> For more information on the present perfect and past simple, turn to page 164. Complete the company profile with either the present perfect or past simple tense of the verbs in brackets. Pay special attention to irregular verbs and the position of adverbs. @/p coucare-ratmouive company William Colgate ‘_founded (found) the Colgate Company in 1806 as a starch, soap and candle business in New York City. For the first hundred years, the company (do) all its business in the United States. However, in the early 1900s, the company 3 (begin) an aggressive expansion programme that ‘ (lead) to the establishment of Colgate operations in countries throughout Europe, Latin America and the Far East. In ‘more recent years it (set up) operations in Turkey, Pakistan, Saudi Arabia, Eastern Europe and China. Colgate-Palmolive &__ (become) a truly global consumer products company, worth $8.7 bn and selling in more than 200 countries. Colgate-Palmolive’s five main sectors of business are: Oral Care, Body Care, Household Surface Care, Fabric Care and Pet Nutrition and Health Care. In the area of Oral Care, Colgate- Palmolive is the world leader in toothpaste. As a result of the company’s heavy investment in research and technology, it ” (develop) many successful toothpastes, rinses and toothbrushes. To strengthen its presence in professional products, Colgate-Palmolive nce cta, J (buy) the Ora Pharm Company of Australia and the dental therapeutics business of Scherer Laboratories USA in 1990. For many years, the company ® (have) a strong dental education programme in schools throughout the world and © (maintain) a close partnership with the international dental community. Recently it (create) a web site for dental professionals The company ¥ {always pay} close attention to the environment. It *? (already make) great progress in the use of recyclable bottles and packaging materials. ceceunit one Describing changes 10 Listening ‘The following verbs can be used to describe upward (__-” ) and downward (\ ) movements in price, quantity and amount. Intransitive verbs ‘Transitive verbs (verbs which do not have an object) | (verbs which have an object) (77 increase ise goup | increase raise decrease fall drop ot godown decline ee ‘The population of the world is increasing. The government has increased income tax. ‘The prices of electronic goods have fallen. We have reduced our prices by 10 per cent. ‘These corresponding nouns can also be used. > an increase arise a raise (US = increase in salary) Na adectease a fall adrop a decline a reduction Complete these sentences using a noun or verb from the boxes above. Use each word only once. 1 There are several competing companies entering the market and this has caused a 20% _drop in prices. 2 Last year was a good year for the company and our sales considerably. ‘The price of coffee has as a result of the bad weather conditions. 4 Asa result of the recession, we have had to ‘the amount of money we spend on research and development. 5 The ______in profits is the result of poor management. 6 The recent ___in overseas investment has been good for the economy. 7 Economists predict that interest rates will__ if consumer spending continues to slow down. 8 Because of high profits last year, the company has announced a salary for all its employees. Skills Focus 1 Complete the passage opposite about Mr Pat Guerin, Industrial Relations Manager of Guinness Ireland. Use these expressions. This job involved reported directly to Twas employed as... Tworked ... The next position I held was .. was then promoted to ... In this role ve worked ... pane ne geCompany Structures When I first started working in Guinness ‘I was employed as a general worker. For three years ae inthe bottling plant as a machine operator: 3 __ for a period of seven years in the engineering department as a maintenance assistant. This involved working with technically skilled personnel in maintaining plant and equipment. In both jobs 2 supervisor, Since then, however, the structure of the company has significantly changed and the supervisor layer no longer exists. General workers now report to a plant manager. § the position of laboratory officer in the quality assurance laboratory. 6 carrying out a wide range of analyses on all aspects of the brewing process. For the past year ” in the Personnel department as an Industrial Relations Manager. 8 I report directly to the Personnel Manager of the compan 2 © Listen to Mr Guerin and check your answers. 3 © Listen to part 2 and answer the questions. 1 What contributed to Mr Guerin’s transition from general worker to a managerial position? 2 What is his principal role in the company? 3. What does this involve? 4 What does he think is the main skill that a manager needs today? 4 © Listen to part 3. How has the company changed since Mr Guerin joined? You may wish to check you understand these words before you listen. contract out industrial unrest consultation negotiation carly retirement compulsory redundancy uSpeaking 1 Workin pairs. Student A, look at the information below. Student B, look at the information on page 154. Student A (Susan Robertson) Read your profile. Prepare the questions that you will need to ask Student B Giancarlo Peretto) in order to complete his profile. Examples: How long have you been with your present company? What are you responsible for? Interview Student B and complete the profile. Then answer Student B’s questions. ic’ Name: Susan Robertson a Name: Giancarlo Peretto ‘Age: 20 Nationality: American ee Marital status: Single Marital status; Salary: $48,000 per annum Salary: ‘Company: US Brands incorporated Company: Present position: Brand Manager, works Prosent position: under the Director of Marketing Background: Background: ‘© MBA from the University of Pennsylvania * Joined the company in 1999, Present responsibilities: + In charge of determining national marketing strategy for a brand of paper towels. Present responsibilities: + Heads a business team of 10 people which studies Consumers’ opinions of company products. 2 Work in pairs again. Student A, look at the information below. Student B, look at the information on page 1 Student A Read the company profile and answer Student B's questions about it. Now ask Student B questions about the company Virgin Se ee as isa leading international notes below. company based in London. It was founded in 1970 by Richard Branson, the present chairman. The Headquarters Name of company __ group has seven main divisions: cinema, communication, financial services, hotels, investments, retail and travel. Its retail segment is Business activities led by Virgin Megastores, a network of music and entertainment stores. Virgin operates in 23, ‘countries, including the United States, the United Main markets, Chairman kingdom, Continental Europe, Australia and Japan. In 1999, the combined sales of the different Virgin holding companies exceeded £3 bn. Sales in 199 12Company Structures Writing Write a company profile for TESCO using the notes below. Use the examples in Speaking 2 to help you. percnad finance basking, eamonerce- ons shopping, boks one ntenet service provider sain markets; UK, Irelands Frances ae er scp ungary, Poland, Sovak Souths Korey Thailand Malapiavand Taeoan) 1999 salon £185 be a aeabs 2 Recruitment Key vocabulary © when a company needs to recruit or employ new people, it may decide to advertise the job or position in the appointments section of a newspaper. People who are interested can then apply for the job by sending in a letter of application or covering letter (US cover letter) and a curriculum vitae or CV (US résumé) containing details oftheir education and experience. A company may also ask candidates to complete a standard application form. The company’s Human Resources department will then select the most suitable applications and prepare a short list of candidates or applicants, who are invited to attend an interview. Another way for a company to hire is by using the services of a recruitment agency (US search firm) who will provide them with a list of suitable candidates. Lead-in 1 Read the advertisement opposite from the website of the American company Cognex, and match the information below with the corresponding red boxes in the advertisement. 1 Cognex provides evening entertainment for its employees. 2 There is a place for employees to play and unwind. 3. Employees are given the opportunity to travel to foreign countries. 4 Cognex likes to recognize and thank employees for thetr hard work. In pairs, discuss these questions. What are the advantages and disadvantages of working for Cognex? ‘Would you like to work for a company like this? Why / Why not? What do you think of this type of recruitment advertisement? ‘What kind of person is Cognex hoping to recruit? ‘What other ways can companies use to advertise for staff? amkerne hy 3 Different methods may be used to recruit people. In groups, discuss the following. Candidates may be asked to: + tella joke + take part in a team game with employees from the company + make a five-minute speech + complete a probation period before being accepted Employers may: + offer a job to the husband or wife of a good candidate + prefer to recruit people from the families of employees + ask candidates to complete a personality test + have candidates’ handwriting analysed (graphology) Which methods do you think are acceptable / unacceptable? Why? Would it be possible to recruit like this in your country? 4Recruitment Za Sa te a a 2B im Fame shuren ttzaipe security Stop ED vmve rots FI netane: J [are cogner com COG N EX Vision for Industry New Graduate Opportunities and Intern* Programs Rem President Awards Plane tickets to ‘lven yearly to top isi customers ‘performer, with round the world bonuses upto $10,000 "Tokens for pin {games in company Everything you need ‘t0-do your best work Patent Yor develop ‘unique technology (Click on the red boxes to go to more information on tat topic) Cognex offers a wealth of exciting career opportunities for new graduates i ll elds, We also offer curent college students the ability to acquire some excellent profesional experience through internships and co-op Programs, We conduct oncampus interviews and participate in carer expos, nd we'd love ro meet you the ext ime we're at your shoal zor * an intern (US): someone who works for a short time to gain experience 1sEG ri For Hiring? It’s Mind Over Matter 10 1s 20 2s x» By Judith H. Dobrzynski NEW YORK — Members of America’s professional and ‘managerial classes have always left college confident of at least one thing: they had taken their last test. From here on, they could rely on charm, cunning* andor a record of accomplishment to propel them up the corporate ladder. But that's not necessarily true any longer. A. growing number of companies, from General Motors Corp to ‘American Express Co., are no longer satisfied with traditional job interviews. Instead, they are requiring applicants for many white-collar jobs — from top executives down ~ to submit toa series of paper-and-pencil tests, role- playing exercises, simulated decision-making exercises and ‘brainteasers*. Others put candidates through a long series of interviews by psychologists or trained interviewers. ‘The tests are not about mathematics or grammar, nor about any of the basic technical skills for which many production, sales and clerical workers have long been tested. Rather, employers want to evaluate candidates on intangible* qualities: Is she creative and entrepreneurial? Can he lead and coach? Is he flexible and capable of learning? Does she have passion and a sense of urgency? How will he function under pressure? Most important, will ‘the potential recruit fit the corporate culture? ‘These tests, which can take from an hour to two days, are all part of a broader trend. ‘Companies are getting much more careful about hiring,’ said Paul R. Ray J. chairman of the Association of Executive Search Consultants. ‘Ten years ago, candidates could win a top job with the right look and the right answers to questions such as ‘Why do you want this job?”. Now, many are having to face ‘questions and exercises intended to learn how they get things done, ‘They may, for example, have to describe in great detail not one career accomplishment but many ~ so that patterns ss 6s ‘companies want to know how an executive will perform, not just how he or she has performed. “Years ago, employers looked for experience — has a candidate done this before?” said Harold P. Weinstein, ‘executive vice-president of Caliper, a personnel testing and consulting firm in Princeton, New Jersey. ‘But having experience in a job does not guarantee that you can do it in a different environment.’ ‘At this point, most companies have not shifted to this practice. Some do not see the need or remain unconvinced that such testing is worth the cost. But human-resource specialists say anecdotal evidence suggests that white-collar testing is growing in popularity. What has brought so many employers around to testing is a sense of the limitations in the usual job interview. With so little information on which to base a decision, ‘most people hire people they like, rather than the most competent person, said Orv Owens, a psychologist in Snohomish, Washington, ‘who sizes up executive candidates. Research has shown, he 38 of behavior emerge. They may face questions such as ‘Who said, that ‘most decision makers make their hiring decisions is the best manager you ever worked for and why?" or ‘What —_ jn the first five minutes of an interview and spend the rest is your best friend like?’. The answers, psychologists say, _of the time rationalizing their choice.” reveal much about a candidate's management style and Besides, with advice on how to land a better job about about himself or herself. 75. as common as a ten-dollar bill, many people are learning to 40 The reason for the interrogations is clear: many hires* "play the interview game. ‘work out badly. About 35 percent of recently hired senior ‘Even companies that have not started extensive testing executives are judged failures, according to the Center fot have toughened their hiring practices. Many now do Creative Leadership in Greensboro, North Carolina, which background checks, for example, looking for signs of drug surveyed nearly $00 chief executives. 80 use, violence or sexual harassment. But the more 48 The cost of bringing the wrong person on board is "comprehensive testing aims to measure skills in sometimes huge. Searching and training can cost from Communications, analysis and organization, attention to $5000 for a lower-level manager to $250,000 for a top detail and management style; personality traits” and executive. Years of corporate downsizing, a trend that has motivations that behavioral scientists say predict slashed* ‘layers of management, has also increased the 45 performance. 50 potential damage that one bad executive can do, With the pace of change accelerating in markets and technology, roe cunning: the ability to deceive people To sas to ea 16 ‘1 branteaser a problem wihich is fun to solve ‘intangible: 5th. that cannot be felt or described ‘a hire (US); a recruit (GB): someone who stats to work for a company ‘anecdotal: based on personal experience *to bring around: to persuade s.b. to agree with s.th, *0 trot: quality in someone's characterRecruitment & Reading Read the text opposite, and decide if the following statements are true (T) or false (F). 1 Traditionally, candidates for executive positions have been evaluated on their technical skills. 2 The principal aim of testing Is to find out how candidates have performed in the past. 3 Today, choosing the wrong person for a position can have more serious consequences than ten years ago. 4 Most interviewers select candidates for their professional abilities. 5. Candidates are now better prepared for interviews than they were in the past. ooo0oaag Dictionary skills Using an English dictionary to find the meaning of a word that you do not understand is a simple way to improve your vocabulary. When you look up a word in the dictionary, you can find information about: * its pronunciation(s) + its grammatical category i.e. noun (1), adjective (adj), verb (vb), adverb (adv), preposition (prep), phrasal verb (phr v) etc. + its meaning(s) + the way it can be used + its suffixed forms + its compound forms (when the word is used with another word) + other ways it can be spelt Look at the sample entry for the word survey (line 44) and then complete the checklist below. survey? /s9ver sar v] | task a group of people a set of questions fo fin out about ther opinions or bchaviout: The agency surveys executive in about 300 companies around the country. | Only 15% of respondents surveyed would admit 10 leaving the ‘workplace ears eet een survey" /saveil 'sarr-/ n [C] 1 a set of questions ‘given to 2 group of people 10 find out about their ‘opinions or behaviour: People are Becoming more pessimistic about the economy, according to the latest consumer survey. +of: A mild economic recovery starts this spring, according to a survey (0f 42 economists by the Wall Stret Journal net Dictionary checklist ‘Are all forms of the word pronounced in the same way? Does the word have one or more grammatical categories? How many different meanings are given? Can it be spelt in any other ways? Does it have any suffixed or compound forms? Which form of the word is the one that is used in the text? oukene Vocabulary 1 Before using a dictionary, it is always a good idea to see if you can work out the meaning from the text. Find the following words in the article and see how many of the questions in the dictionary checklist you can answer: skill (line 16), employer (line 18), behavior (line 35), competent (line 68), rationalize (line 73). Univerzita Mateja Bela Fakulta, financit KNIZNICA 72 Now see if you can answer any more questions in the dictionary checklist, using the entries below from the New Longman Business English Dictionary. ‘Competent ‘kompitontfko:m-/ eats ots atstactoy standart The farm woud ase eg 4 competent manager. | You need someone win both competent at nance and Rone mone M2 employer /tmiplora}-r/_n [C].a person or company that pays people to work for them: Every employer should spend money on training. | Who is your current employer? | Potential employers feel they ‘can tell a lot about a person by looking at their handuwrii sionalize /reefonalarz/ also -ise BrE v{1,T] to make rons of erginzaton more fete by geting Tid of unnecessary staff, equipment etc, oF eorganizing its structure: The company has been taking steps to rationalize its printing operations. skill /skal/ » (C,U] an ability to do something well, especially because you have learned and practised itt You need computing skills for that job. | The sucessful applicant shouldbe dbe ous them initiative and have good communication skills. | There are still excellent jobs available for those with the right specialist skills and knowledge. | Unfortunately, listening may be the least practised ‘management skill n today’s workplace. +at/in: The Federal Reserve Chairman has demonstrated skill in adjusting interest rates. cet 3 Complete the following passage about the role of search firms in recruit using words from Vocabulary 1 and from the Key Vocabulary section. Change the form of the words where necessary. Headhunters or executive search firms specialise in finding the right person for the right job. When a company wishes to '_recnuik a new person for an important 2 it may use the services of such a firm. The advantages for the 2 are that it does not have to organise the costly and time-consuming process of advertising, selecting and interviewing suitable ‘ In some cases, the search firm may already have a list of people with the appropriate ° for the job. If this is not the case, then it may act as a consultant, advising on or even organising testing and simulations to evaluate the candidates’ € in order to select the most 7 person for the job. ‘Now select three words from the text that you do not know and look them up ina dictionary. 18Vocabulary development: compound nouns Present simple and present continuous Recruitment Compound nouns can be formed in different ways. Decision maker(line 71) is formed by combining two nouns and refers to ‘someone who makes decisions’. The nouns in the two boxes below can be combined in the same 1 Match one noun from each box to form a compound noun. 1 risk |S wage eamer—e programmer 2 computer 6 wine winner f solver 3 problem 7 law breaker g_ importer 8 trouble shooter h taker Our answers in a dictionary and note if the expression is written as two ‘On page 156 you will find four examples of questions from a personality test of the type mentioned in the text. 1 Follow the instructions and answer each question. 2 In pairs, discuss your answers to the questions. What do you think the answers ‘would tell an employer about your personality? 3. What do you think of this type of testing? Language Focus ‘Which sentence below refers to a temporary situation? € ‘an action that is happening at this moment? a permanent state or situation? a future arrangement? a regular or habitual action? changing and developing situation? a future event based on a timetable? Noweene Candidates know what questions to expect. Companies are getting much more careful about hiring. ‘Who is she talking to? I'm meeting the production manager this afternoon. ‘The flight leaves at 18.00. James is working at home until the new office is ready. 1 get up at 7.00 most mornings. are nn ee ‘Which tense is used in each case? >> For more information on the present simple and present continuous, and for examples of verbs not normally used in the continuous, turn to page 164. 19Practice ‘This is part of a report that a personnel manager wrote after interviewing a candidate for the position of Director of Software Development. Put the verbs in brackets into the present simple or present continuous tense. INTERVIEW ASSESSMENT Articulate and well presented, Paul Sutherland is an excellent candidate for the post of Director of, Software Development. He *__ysanke (want) to leave his present employer, a small ‘computer company, because ne ® (feel) that he 2 (not use) his ‘knowledge of software engineering to the full. He (ook for) a more challenging position where his field of specialisation can be exploited in a more stimulating environment, He e (cealise) that our company 6 (gros) rapidly, and that he would be expected to contribute to that growth. He is familiar with our existing range of software and regularly 7 (read) our publications. Although at present he §__(Live) in the south, he ® (say) that he is willing to go wherever we 7, (decide) to send him, He occasionally 1 (Gravel) to various European countries for trade fairs and exhibitions and (enjoy) meeting people of different nationalities. At the moment he | attend) a training course atthe Goethe Institute in order to perfect his German. J Hargreaves Personnel Manager 27th January 2000 ry Skills Focus Listening © Look at the job advertisement below. You will hear a conversation in which Fiona Scott is telling a friend about the advertisement. Listen to the conversation and complete the missing information, ‘PREFER A CAMPING TRIP TO A COCKTAIL PARTY?’ PATAGONIA has a new position open: ——) ae Perera) Auodin igo soos dni antes 2 Asgopinte Job is based in? = Candidates must have substantial 3 1 experience and strong ‘ skill. They must have serious proficiency in technical sports (skiing, Kayaking, climbing...) and outdoor experience. * ‘mother tongue. Environmental background a plus. No glamor... it's a gritty job! Patagonia is a © company which designs and distributes functional ” ‘Send CV with picture to: Nathalie Baudoin . meccer = _ Patagonia Reitmorstrasse 50Preparation for writing | curriculum Vitae 1 The curriculum vitae Recruitment Fiona Scott decides to apply for the job at Patagonia. Study her CV carefully ppl job at Patage he full} 7 to see how she has present resented the inf each of the following hi formation about herself. Wh ch ning ating sha pce? Cs nour ca References Activities Education Skills, Personal Details Professional Experience + Personal Details Fiona Scott 52 Hanover Street Edinburgh EH2 SUM Scotland Phone: 0131 449 0237 Email: fiona scotr@caledonia.net peace Loren rom of COM soar Diploma in Public Relations 1998-1991 University of London Ba lonours in Journalism and Media Studies (less ID 1981-1988 Broadfield School, Brighton Broad German (A), Engish(B) History (6) and Geography oO 1995-present Public Relations Officer Scomsy Nature Trust Febponsible for researching and wring artles on al Pets of the Trust’ Respties and ensuring their dstribution to the press Faitor of the Trust's monthly journal Faptege of relations with European environmental agencies 1992-1995 _ Press Officer Highlands Tourist Boar Freparaion of promotional materia and brochures Covordination of media coverage Summers of The Glasgow Tribune newspaper, sud 1991 Two three-month eraning periods as as88tans © the Sports Editor ‘Arranging and conducting interviews Preparation of arles covering local community spores ens ig ‘Office 2000 and Windows NT, Excel Internet, PowerPoins Languages Fluent German and proficient in French ‘Additional Driving licence (ear and motorcycle) 5 Cross-country sking, rock climbing and swirnming Ski Instructor (grade I) Se ee lca branch of'Acton,an association organising SPO dctivites for disabled children Geoffrey Williams Brenda Denholm Professor of journalism Sports Editor Crawensty of London The Glasgow Tribune 212 The letter of application ‘The letter of application can be as important as the CV in that it often provides the first direct contact between a candidate and an employer. If this letter is not well written and presented, it will make a poor impression. The letter of application normally contains four paragraphs in which you should: ‘© confirm that you wish to apply and say where you learned about the job ‘* say why you are interested in the position and relate your interests to those of the company + show that you can contribute to the job by highlighting your most relevant skills and experience «+ indicate your willingness to attend an interview (and possibly say when you ‘would be free to attend) Below you will find details from Fiona Scott's letter of application. Look at the outline of the letter on the left and indicate where the information below should go. @ _amnough am presemty employed by anon-eat mating anon hes aways been ry tention foo craeniatn onment woul particu weloms ® caer for yur company se have fang edie hanes 1 wo fw proget tet provides ond both eau ra onrrmontl cases A YOU Wi aos my enlose Cte job yOu ar offing 2 ‘both my personal and professional interests, © 1 would be pleased to discuss my curriculum vitae with you in more deta! at an interview. in the meantime, please do not hesitate to contact me if you require further information. | Took forward to hearing from you. : © Deer Me Booln_ @ atm sanuary 2000 © ing to apply forthe position which was adv last month in The Independent 6 oe eee j ® Nathatie Baudoin © _ s2ttanover Street Eainburgh Patagonia Gmbh 7 E42 5LM Reitmorstrasse 50 UK 8000 Munich 22 Germany ised me with many of the lations today. | am sure that iding of the neads and ‘enthusiasts, would be Moreover, 36 my mother fe German, | am fluent in this language and would definitely tenjoy working in @ German-speaking environment. © Fiona scott ; D Yours sincerely } 3 Work in pairs. Refer back to the job advertisement, CV and letter of application. Do you think that Fiona has a chance of getting the job? What are her strengths and weaknesses? @ ® my work experince has fami Challenges involved in public gather wth my unders por and nat 22Writing Listening Recruitment Clarke Hooper is advertising for graduates. Read the advertisement carefully, then prepare the CV and letter of application that you would send to Michelle Hocking. You may invent as many details as you wish, but note that the person who you present in your CV will not graduate until the end of this year. Not your degree, this ad. Got your attention though, didn nd that’s our business. Promotional marketing involves everything from sales promotion to product launches, direct marketing to design. All of it involves or becoming an account handler, ane you think you're capable o ciety, send your CV toh 12 people's attention. If ki an increasingly media te ‘Checkout our work and who we doit for at wie. You fh about what we youre there ocomplete in with your Cv. Cla Hoops We Stuph, Barkshire, SL! 284 Ema ichlleche cosh You will hear David Smyth, the Personnel Manager of a major European insurance company, answering questions about the way he interviews and selects candidates. | © in the first extract he talks about the four points listed below. Listen and number them in the order in which he mentions them. the mistakes a candidate can make in an interview the qualities a candidate must have his advice to interviewees the kinds of things a candidate is expected to know ance © Listen again and make notes on each point. 232 © in the second extract, David Smyth talks about the stages of an interview. Listen to what he Says and complete the following chart. 1 ewer is informed that the candidate has arrived 7 § C—O 3 [GBididate is asked what he or she knows about the job and the company _| nterviewer gives candidate his views on the job and the compar ee 6 ——~”~_ =a 3 Look at the questions that David Smythe uses during an interview. In which section of the interview would each question appear? a Have you ever been in a situation in which you lost your temper? 1b What sorts of projects did you work on during your time with them? MO ‘© What do you know about our recent acquisitions in Latin America? _ Did you have any trouble finding our building? How do you deal with difficult people? Which of the options that you took at university was the most interesting? oO g How ambitious are you? h C Are there any questions that you'd like to ask me? Speaking Im pairs, look back at the job advertisement on page 23. You are going to interview a candidate for a place on the graduate recruitment programme. Swap your CVs and letters of application with another pair and prepare questions you would like to ask each of them. When you have prepared the questions, interview one of the students whose CV you have read. After the interview, discuss the candidate with your partner. Would you employ him / her? Why? Why not?un 3 Retailing Key vocabulary & Retailing is the business of selling products to the general public. Most retailers sell Lead-in from shops or stores which are called outlets. Many countries have large retail chains which are organised nationally and sell a standardised selection of products. Their outlets are often in shopping centres (US malls), where there is a large variety of stores in the same location. Many large retailers operate from out of town locations with parking facilities, known as either hypermarkets (over 30,000 square metres) or superstores (under 30,000 square metres). They may be on a retaill park, where there are a number of large stores. Department stores such as Harrods in London are large shops which sell a wide variety of products, usually from a city centre location. As the name suggests, they are ‘organised in departments, each with its own manager. 1 In groups, discuss the retail business in your country. How has the business changed in recent years? What do you think are the reasons for these changes? 5 You will hear Janet Moore, a retail specialist, talking about the difficulties facing British retailers who try to penetrate the US market. She talks about four companies: Habitat ‘The Virgin Group ‘The Body Shop Next Listen to part 1. Which of the companies 1 have been successful in the US? 2 have had to modify their US operations? 3 have abandoned the US market? 25Tae 3 Look at the list of potential problems for British retailers entering the US market. Which of these do you think are the actual problems? 1 assuming that American and British consumers have the same tastes 2. not investing enough money in their operations 3 offering too many products for sale 4 not advertising enough 5 taking too long to react to competition 6 not having high enough prices 7 sending UK managers to run the stores 8 /choosing the wrong locations for stores (© Listen to part 2 and tick the problems Ms Moore mentions. Reading 1 Look at the headline and introduction opposite. Write five questions you ‘would like to ask about Richer Sounds. 2 Read the text and see if you can find the answers to your questions. Can you ye ‘guess the answers to your other questions? 3 Read the text again and choose the best answer for each of the following. questions. 1 Richer Sounds is aa single outlet retailer. a privately-owned retail chain. € a department store. 2 Richer Sounds sells ten times more than Marks and Spencer. b has more outlets than most UK retailers. sells more per square foot than any other UK retailer. 3 Richer Sounds is cheaper than other hi-fi retailers because a it only sells old models of hi-fi equipment. b it buys equipment from manufacturers at special prices. ¢ it sells second-hand equipment. 4. Manufacturers like doing business with Richer Sounds because a itcan handle small numbers of items. D ithas a large number of stores. ¢ it accepts lower discounts than other retailers. 5 Richer Sounds does all its advertising through brochures. gets free publicity from newspaper and magazine articles. © buys advertising space at a low price. 6 At Richer Sounds, staff a regularly receive further training. do not have to follow rules. ¢ install equipment for their customers. 26Ye Ne P i } x i ‘At hifi chain Richer Sounds ‘we have a laugh’, says founder Julian Richer. They also sell more per square foot than any other retailer in Britain By Nigel Cope 0 is the busiest retailer in Britain? Marks and Spencer? Sainsbury pethaps, or Tesco? Wrong on all three counts. The answer is Richer Sounds, a 5 little-known, privately-owned, cut-price retailer of h- equipment with 28 shops in the UK. In the Guiness Book of Records, Richer ‘Sounds warrants an entry forthe highest to sales per square foot of any retailer in the 6 bought a second-hand Bang and Olufsen for £10, did it un* and sold it fr £22." In 1979, at the age of 19, he opened his first shop the one on London Bridge Walk Since them litle has changed. in simple terms, cher Sounds sells discounted Hi-fi ‘rom tiny, basic shops with ow overheads. Stock tumover is rapid and the company’s smaliness gives it flexbiity to take advantage of deals offered by Retailing BOW Marketing is @ key weapon, Ficher 0 Sounds advertises regulary in national nowspapers (‘We buy late space at a discount” Ficher says) and in atmative™ imagacnes such a5 Pate Eye and Vo Every month it produces up to 360,000 copies of @ brochure pushing the atest offers The shops are like walcin warehouses. Outside, “bargain bins” tout special offers UK ~ £17,000 ~ for its store on London so manufacturers on end-ofline or surplus including audio cassettes for 59p. Inside, Bridge Wak in the City, Even taking an equipment. 90 compact cise players, tuners and speakers average across all 28 stores, Richer ‘The technique has enabled Richer from leading names such as Sony, Akai and Sounds stil clocks up £5,780 per square Sunds to secure ise a lucrative niche in Marantz are stacked ftom floor to cling, 16 foot, ten times more than Marks and a £4 bn audiovisual market dominated by Banners hanging from the celing proc ‘Spencer, si times the sales achieved by 58 independents “If you've seen it cheaper, wel beat that Sainsbury, ‘While leading multiples stock mainly the 9 price by up to £50. Its proftable too, Sales are up and its mass market, volume seling mii systems Good. service is. another ptotity. At ‘operating margin has soared from 3.4 per which became popular in the early 1980s, Ficher Sounds staf are trained not to be 20 cent in 1989 to almost thirteen per cent Richer Sounds sells only hifi separates pushy*. They all attend two training today. Last year Richer Sounds made 60 suchas tuners and ampifirs. Itbuys ether seminars a year at Riches country house profits of more than £3m on sales of endofline ranges which manufactures 100 in Yorkshire, where more attention is paid ‘iat £48 m, ‘are hoping to offload before the next, to following the correct administrative The man behind Richer Sounds’ success _casmeticaly different madel arves ftom procedures. 25 is founder, managing director and 98 per Japan, or small orders of current madels ‘First-time hifi buyers get a cll to check cent shareholder Juian Richer, a 39year- 65 which, perhaps because of poor stock that they have plugged in the equipment cold Londoner who, a the age of 14, used to buy and sell candles during the energy crisis of 1974. A ikeable bloke who wears 3 his blond hair in a pony tal and operates from a small converted Victorian vinegar factory in Bermondsey, south-east London, he raps out his sales pitch". “Even when | was at school | wanted to 35 go into business,” he says, “but my age was against me, Property was out — | wast od enough to sign a contract. Cars were out ~ I cout dive, So| turned to his, which was catching on at school. | ” management, the manufacturer is prepared to seat a reduced price. Now, as manufacturers’ stock control improves, three-quarters of its. stock is. current models. Suppliers are keen to do business with this quiky® reales. “People tke Dixons and Comet have so many stores (344 and 262 respectively) that unless youve got 6,000 of ‘a model it's not worth their while puting it into ther distibution system,” says Cive Roberts, sales and matketing director of ‘ai “With cher, you can doa deal on 30." 105 correctly. Customer receipts include a freephone number they can dial i they have a problem. Richer’s own name and cofce number are supplied too. The emphasis is on fun. If it's raining, 10 customets are given a fee umbrella. In summer they get @ Chily Wily (a type of ice lolly). Other seasonal gifts include mince pies at Chvistmas and hot-cross bons at Easter. "We have a laugh” Richer 118 says. "We dont take ourselves seriusl, boat we do take our customers seriousiy." Business “sales pitch: what salespeople say to persuade you to buy s.th. *to do s.th up: to repair s.th, “quirky: unusual, untypical “alternative: not traditional “pushy: rude in trying to get what you want 27Vocabulary 1 The following words can be used in more than one way. Underline the correct part of speech for each word as it Is used in the text on page 27. 1. stock (lime 47) a noun b verb 2 deal (line 49) @ noun b verb 3. surplus (line 50) @ noun b adjective 4 secure (line 53) a verb b adjective 5 market (line 54) a noun b verb 6 model (line 63) a noun b verb © adjective 7 order (line 64) a noun b verb 8 control (line 68) a noun b verb 2 Complete the passage using appropriate forms of the words in Vocabulary 1. Sephora is a French beauty supermarket chain which has revolutionised the way that perfumes and fragrances are sold. Sephora operates in a" _movket. that has traditionally been served either by small exclusive perfume stores or by department stores. It? a wide selection of top products from beauty houses like Chanel and Estée Lauder. Two years ago the original founder of Sephora, Dominique Mandonnaud, was approached by the luxury chain LVMH (Moet Hennessy ~ Louis Vuitton) with an offer to buy the company and one year later a? ‘was made. Today Daniel Richard, the new president, ‘ all aspects of the business. He has managed to the support of many ofthe big brands in te perfume business and has placed big with them. Sephora has ambitious plans for the future, and recently opened a store in New York. 3 Read the text about the American company Wal-Mart, the world’s largest retailer. Replace the words in italics with these words from the text on page 27. a. profits (line 22) range (line 61) b overheads (line 46) suppliers (line 71) niche (line 53) £ discount (line 82) Wal-Mart is already manoeuvring to bring it vision of retalng tothe European consumer. In the United States the company operates stores that are often twice a big as their European equivalents and which sell a huge * selection conge— of quality products ata? significant price reduction However, duplicating its sueeess on the old continent may prove to be just as difficult as conquering the New World's markets Firstly, Europe with its imited space available for building new stores and its high ? operating costs ‘may make it more iffcut for the company to produce the same 4 positive financial results that ithas had inthe US. In addition to that, it may be difficult to persuade > companies that provide goods for retailers to do business with them in the same way as they do in the US. But with its purchase of the British supermarket chain ASDA, Wal-Mart clearly wants to establish 2 portculor market. for itself n Europe 28Retailing oan, 1 Look at these compound nouns from the text on page 27. development: anal ‘mass market (line 57) special offer (line 88) comp, distribution system (line 76) leading name (line 91) nouns ‘What other compounds do you know with these words? a market b system named special 2. Match words from A and B to make compound nouns. Check your answers in a dictionary. A B 1 customer e 4 sales a power margin 2 duty 5 purchasing goods € figures 3. profit 6 consumer © service f free Discussion Read the extracts below from Julian Richer’s book The Richer Way. What do you think of the company’s approach to customer service? What experiences have you had of good or bad service in shops? ee aoc Red nae to SEU TO Rah ai DOC ene eet cnD Se ee eV ae MCE et Oe eee ert Te eta Perey rN3 ee aetna ed a Pec eco Set iyMake and do Practice Language Focus Look at the sentences from the text on page 27. Richer Sounds made profits of more than £3m. (line 21) Suppliers are keen to do business with this quirky retailer. (line 71) >> Make and do are very similar in meaning and it is not always easy to know which to use. Turn to page 165 for some guidelines. 1 Which of the following words are used with make, and which with do? Use a dictionary to help you. 1 acomplaint make 5 asuggestion 9 a decision 13 the typing 2 nothing 6 a speech 10 your best 14 money 3 anexam 7 aloss 11 research 15 ajob 4 a mistake 8 atip 12 plans 16 good 2 Complete the questions with the correct form of make or do and words from exercise 1. 1 Have you ever had to_emake _a _speech_ in front of an audience? 2. What is the longest that you've ever toa foreign country? 3. Have you ever a about the poor quality of something you bought? Do you think it___ any 2 5 Do you prefer to in a library or on the inteet? 6 Have you ever any about how customer Service could be improved in shops that you have visited? 7 How much do you think you will from your job next year? 8 What have you for the next summer holidays? 3 im pairs, ask and answer the questions in exercise 2.Locating objects at the front at the back at the top at the bottom in the middle on the left on the right above next to between in front of below inside behind Retailing @ Do this quick-check exercise as preparation for the listening activity that follows. Look at the picture of a gift shop and complete the sentences with the words in the boxes. The personal stereos are ‘ak the top of a large display cabinet, 2 of some small radios. The hi-fi systems are ? of the cabinet and the radio cassette recorders are + 5 is a smaller display case containing a selection of jewellery: there are some earrings © — and some bracelets ? 8 The binoculars are on the shelf _pelows the video cameras. 9. The jewellery is the perfume counter. 10. The scarves are the perfume counter. 11 There are some video cassettes a box. 12 There is a ‘Sale’ sign the jewellery counter. 13 The watches are the earrings and the bracelets. 14 The shop assistant is standing the perfume counter. 31Skills Focus Listening 1 Where would you expect to find these items on the supermarket plan below? ® - Z ®, ® S | : @ Demonstration | om Checkout 2 © Listen to a British supermarket manager talking about the layout and design of her store. Indicate where the items are located on the floor plan. 3 © Listen again. What reasons does she give for locating the items in this way? 32Retailing @ Writing 1 You have been asked to prepare and test a questionnaire that will be used in a consumer survey of customers of a chain of retail bookshops. The questionnaire will be used in interviews with customers to collect the following information: + customer profile + customer satisfaction + attitudes to mail order and e-commerce In pairs prepare the questions to include in your survey, covering these areas: Customer profiles * resident / visitor * professional and social background income ‘regular / occasional + level of spending + how they discovered the store Customer satisfaction * service * product range + prices + communication of information ‘suggestions for improvement Customer attitudes * experience and opinion of mail order ‘+ experience and opinion of e-commerce Your questionnaire should contain a mix of question types. Look at the extract from the survey. Which question is: a a multiple choice question? b a closed question? © an open question? FEI 00 you tive in this town? Yes / No ED the covoracr [EI How much money do you earn per year? a £0- 10,000 b £10,000 - 30,000 @_more than £30,000 Speaking 1 Student A, look at the photo on page 154. Student B, look at the photo on page 157. Prepare the answers that you think this person would give to each of the questions in the questionnaire. 2 In pairs, take turns to interview each other. Writing 2 Write a report for the chain of bookshops, based on the information you obtained in the interviews. 33an 4 Franchising Key vocabulary © Franchising is a business system in which a company (or franchisor) sells an individual (or franchisee) the right to operate a business using the franchisor’s established system or format. {As part of the franchise agreement the franchisee pays an initial sum of money, a franchise fee or front end fee, to the franchisor and agrees to pay a royalty or management services fee for continuing advice and assistance, which is usually calculated as a percentage of annual turnover. The franchisee may also pay an advertising fee to contribute to the franchisor’s annual advertising and marketing costs. The franchisee also has to find the necessary capital to open the business. The franchisor provides an operations manual which contains all the information that the franchisee needs to run his or her business. A franchisor may appoint a master franchisee to supervise the business in a particular area Lead-in 1 in pairs, think of as many examples as you can of franchise operations in your Country in the following sectors Fast food Clothing ‘Motor Trade Burger King Tie Rack Hertz 2 Student A, make a list of what you think are the principal advantages and disadvantages of the franchise system fora franchisee, Student B, do the same fora franchisor. Compare your list.Franchising 3 Im pairs, decide if the points below refer to (a) franchisees or (b) franchisors. ‘They can easily get advice on how to deal with specie problems. They do not have to borrow large amounts of capital to expand. ‘They must respect certain rules, ‘They have to buy supplies from particular sources ‘They are responsible for national advertising They can only sell certain products They have to seek approval before selling the business They provide regular reports on the evel of sales ‘They can develop their business without having to deal with the problems of recruiting and managing personnel. OoO0o0o0o0o08 wCeVaneane a © Listen to a business adviser talking about franchising, and check your answers. Reading 1 Yow are going to read a text about a typical day in the life of Vanessa Stein, 4 McDonalds restaurant franchisee. Using the categories given below, make @ list of the things you think she has to do during the day a people management time management networking administrative work unskilled work working at home meang 2 Read the text on the next page and compare your ideas with what she actually does. Tom and Vanessa Stein meet Ronald McDonald. 3 Read the text again and decide ifthe following statements are true (I) or false (F). 1. Vanessa Sten start to organise her day before she gets to work, 2 In the future Vanessa will continue to work in exactly the same way as she does today. 3 The restaurant has not changed since the Steins bought it. The majority of McDonald's restaurants in the UK are not franchises. 5. Vanessa's husband did his training after having been accepted as a franchisee 6 Every two weeks they receive an independent evaluation of how their business Is performing. 7. Vanessa feels that she is best at working directly with customers. Al of the administrative work is now done in electronic form, 9 If she didn’t have children, she would probably stay longer at work. OH00 0 oOo aBy 9.30 a.m. I'm ready for a Bacon & fgg MeMuffin and a cup of tea. I'l have a quick chat with our regular breakfast customers before opening the post. This brings invoices from suppliers, ‘marketing and training information {rom Mebonal’s (they run the training Courses but we pay for our staff to attend), bookings for parties, or perhaps the monthly report from the ‘Mystery Diner’ ‘Mystery Diners make monthly checks ‘on every restaurant and Drive-Thru in the country. all aspects are assessed — food quality and presentation, atmosphere, quality and speed of service, estaurant cleanliness and so on, Staff are often commended by name, 50 | pass the news on to them and ‘make sure any problems are tackled. We're currently eighth in the UK league which is pretty good. We have an ongoing dialogue with McDonald's. field consultant visits us ‘every two or three weeks, and there are regular meetings with other franchisees to share ideas and experience ‘Much of my morning is spent updating computer records. Tax office queries, training records, payrol, etc, have to be organised. Staff turnover varies but we can sometimes lose our casual workers when they go to university or decide to go traveling. There are McDonald's all over the world now, s0 their training here really can open distant doors The lunchtime rush’ starts around ‘noon. On the rare occasions that we're short staffed (e.g. flu season), I'll muck in and serve customers (memories of my waltressing days at university. I've 1 "ihvee years ago, Vanessa Stein and her husband Tom took up the fast food challenge: they bought the franchise for a McDonald's restaurant near Leeds. EARLY MORNING is always an effort for me. The alarm goes off at 6.30a.m.and 55 then I have 20 minutes’ thinking time” ‘to make some mental ists before | get up. live by lists, actually ~ it's the best way to keep things organised, Recently I've been arriving at our MeDonald’s restaurant around 8.30 a.m. I"ve mastered the computerised accounts 15 now so I'm training one of our floor managers to help me with the administration. Eventually this should give me more time to get involved in other areas of the business such as interviewing staff (Our restaurant is in a retall park around five miles outside Leeds. Since 39 we bought the franchise n 995, we've already expanded the seating and now we're ooking to expand the restaurant itself. We have to conform to the ‘McDonald's standards (quality, service, 7 cleanliness and value) of course, but the restaurant is actually our own business. so We directly employ some 75 staff, order and pay for supplies (from ‘prefered suppliers), take care of any i ‘maintenance or refurbishment, arrange local marketing, and so on, Around a 4s quarter of all McDonald’s 800 UK restaurants ae franchised, Buying ths franchise was a big move for us, Tom (my husband) had to do nine months’ training before we could so even be considered fora franchise. even been known to cookies when paid off though, and we ae delighted pecessary. As with any small busines, with this place ~ it boasts" what was the 59 one has to be flexible but | think it's also first Drive-Thru in Yorkshirel~and the important to focus your energes where surrounding countryside i truly they ae mos effective. For me, this is 4s beautiful. behind the scenes admin work. Univesity of Warwick Network “to boost to have asa feature ‘a rush: a busy period ‘a bomb ste: a place where a bomb has exploded *to snore: to breathe noisily when sleeping 36 Vanessa Stein and her second restaurant (under construction) My own lunch is a salad or chicken 45 sandwich, By this time, my office looks like a bomb site to the untrained eye ‘ve usually divided the masses of paperwork into piles ready to tackle them in priority order. ‘have te head off around 3 p.m. to collect my two sons from school so | generally end up taking work home. I'l finish itn te kitchen listening to Glenn Nilleror the Moody Blues, while also 1s supervising the children’s homework, music practice or whatever. If 'm doing the end-of-month figures, | generally have to work into the early hours. Otherwise I'm in bed any 1 time after 10 p.m. | always have three or four books on the go, Walter Scott or Jane Austen for example, and usualy fone nonfiction — maybe an autobiography or a political work. 1'm glad to say Tom's snoring” was lasered away last summer, so now I can look forward to some undisturbed sleep before another busy day at the restaurant. Now | think of i! used to 120 have cravings for McDonalds when 1 ‘was pregnant. it must have been a premonition!Vocabulary Franchising a list of employees and the wages they are paid work involving written or printed documents to review and include recent changes a plece of writing giving information on a a difficult but exciting thing to do Keeping equipment in good condition '] Match the words from the text with their corresponding definitions. 1 achallenge (line 3) aa reservation 2. maintenance (line 33) b 3. abooking (line 54) c 4 a report (line 55) a 5 to tackle (line 65) e 6 to update (line 74) particular subject 7. records (line 74) £ to pay special attention 8 a payroll (line 75) 8 9 to focus (line 91) h 10 paperwork (line 98) i to deal with about the past written documents containing information 2 Complete the following questionnaire using words from Vocabulary 1 Change the form of the words where necessary. @©— when working with other people do you focus _ on the work that Broan, eae you Yes When preparing a written can do best? No do you list the different sections then make a brief summary of what you will include in each? Yes No Do you your address book as soon as people move? Yes No Do you organise your accor Yes Do you enjoy the complicated work? Yes Do you regularly do works officiontly? Yes Do you keep clear Yes No Do you Yes No ding to subjects? No No No s0 that documents are grouped of doing new and perhaps more ‘work to make sure that equipment of the work that you have already done? ult pieces of work first? maak: ay 5 Oo SS oO) G 3 in pairs, interview each other. Suggest how your partner could manage his ot her time better. 37Piacoa Vocabulary development: | !2ok#tthe way these nouns are formed, assessment ‘administration ‘administer (verb) 1. Say the nouns and stems. Which nouns have the same main stress as their Which nouns have a different main stress? 2 Using a dictionary, check that you understand the meaning of the words below. | Put the words into the correct columns in the table. In which ones does the stress _| change? _ ‘confidential willing prepare require organise similar present invest disagree careless popular aware “ness vity vation confidential Language Focus Adverbs Look at these adverbs expressing time from the text on page 36. Early moming is always an effort for me. dine 6) Recently I've been arriving around 8.30 a.m. (line 12) Eventually this should give me more time. (line 17) We've already expanded the seating. (line 24) We're currently eighth in the UK league. (line 66) We can sometimes lose our casual workers. (ine 77) ve usually divided the masses of paperwork. (line 87) Match the adverbs to their corresponding definitions. not long ago —cecenkly after a long time by or before now at the present time ‘on some occasions but not all on most occasions or in most situations all the time Nouwmene >> For more information on adverbs and frequency, turn to page 165.Used to do; be used to doing Practice Franchising Look at the two photos of the same person. A He used to go to school B He's used to making ina small village. presentations. Complete the rules with used to + infinitive or be used to + -ing. . is used for things that happened regularly or for a long, time in the past but which no longer happen. . is used when talking about something which is familiar and no longer strange: >> For more information on used to do and be used to doing, turn to page 166. 1 Complete the following sentences about Vanessa Stein by combining the verb in brackets with the appropriate form of used fo or be used to. a She used bo go (go) to university. b She (help) her children with their homework. © She (chat) with regular customers. d She (attend) meetings with other McDonald's franchisees. Her husband (snore) f She (work) as a waitress at university g The restaurant have) fewer seats. h She (take) work to do at home 2 Write a short description of a typical day in your life, using used to, be used to and time adverbs. Try to show how your life today is different to what it was before. 39cele Skills Focus ‘| Match the words and examples below with their definitions from The New Reading Longman Business English Dictionary. © working capital also operating capital We will have to make our ‘entire technical staff redundant because we have run out of operating ‘capital. | the need for working capital o expand operations @ return n 3 [C] Over 12.2 million taxpayers {filed federal returns electronically this year. | {allegations that the company had falsified 1s corporate tax return, ae ®@ fixtures and fittings Bri abbreviation f & f; fixtures AmE n [plural] Ask the seller of the house to list the smaller fletures and fittings that are 10 be left teem ® ee trademark 7 [C] The company used names similar to well-known trademarks to sell ‘cheap imitations. _—_ LAW, PROPERTY things such as lights ete that ae fixed or fastened to @ house or building and are included as par ofthe property when itis sold: — sence ee MARKETING the activities involved in obtaining information about a particular market, including hhow much ofa product is being sold, who is buying it, why they are buying it ete, or information about what they might buy: er _e ‘an amount of money paid for services or goods: money charged | by a bank for services such as paying cheques, sending out bank statements ete: ® Orr charge'n 1 [C,U] Vodafone is cutting its call charges by 15%. | You can'search the D&B database free of charge. “Hor: Politicians are opposing higher charges for electrici9. C usually plural] concern at the level of bank charges | charged by some ofthe High Street barks ono © gross margin also gross profit margin n [C] Selling, general and administrative expenses were more ‘than 30%6, so IBM needed a gross margin of around 40% just to make any reasonable profit at tt market research also marketing research; ® abbreviation MR Market research showed “good potential” for marketing the aflershave to Hispanic ‘men. | Performance Research, a sports marketing research company the difference between the price that a product or service is sold for and the cost of producing it, ‘without including OVERHEADS (=general costs not related to particular products or services @ ‘money used by a business to carry on production ‘and keep trading, for example to pay employees and ‘suppliers before money is received for goods sold: ® } sign, or design used on a product to show it is made by a particular company. ‘Trademarks are protected by law: f ® TAX an official form that i filled in and sent to the tax authorities so they can calculate how ‘much tax is owed: 2 Bang & Olufsen is a Danish franchisor which manufactures and sells hi-fi and television equipment in 40 countries. Use the words from exercise 1 to complete the franchisee brochure opposite. { nr éFranchising @ & Your Investment £ OPENING STOCK / WORKING CAPITAL Purchase of display and back-up stock General '_working capital 43,000 ‘SHOPFITTING Installation costs / contractors ‘An allowance for fitting the shop: BANG & OLUFSEN Security systems, air-conditioning, * ISDN and telephone lines 30,000 FRANCHISE FEE PACKAGE 2 ‘and territory evaluation. property search and survey weeks of induction training in Denmark and UK for two people, retail software package, operations manual. intensive opening support 11,000 MARKET LAUNCH FEE Promational launch package Bang & Olufsen profiled customer base for direct marketing purposes (Opening event. public relations support Launch programme defined by franchisee and Bang & Olufsen 7,500 LEGAL AND BANK COSTS Lease negotiations, bank 4,000 ‘TRAVEL AND ACCOMMODATION Subsistence expenses for the initial training period for two people 2,000 FRANCHISE FEE ‘The leasing ofthe right to operate a Bang & Olufsen Franchise and the use of ‘and know-how NIL TOTAL INVESTMENT VALUE ADDED TAX Reclaimable on the first VAT § to be sufficient to cover additional working capital 17,000 TOTAL FUNDING REQUIREMENT FUNDING Up to 70% of finance can be provided by the clearing banks (Gubject to status) 80,000 MINIMUM CASH INJECTION BY OWNER 34,500 Your Reward Year 1 Year 2 Year 3 Sales 378,000 510,000 612,000 B 34.9% 34.9% 35.9% ‘otal Operating Costs 79,000 96,000 116.000 Management Fee 3,780 5.100 6.000 (1% of turnover) Result 49,000 76,000 98,000Listening D ALLIED DOMECQ 1 & Listen to Janis Errickson, a franchisee with Dunkin’ Donuts, talking about the organisation that she is a part of. Complete the diagram below. e Out. Baskin Gi Robbins Parent company: Franchise company: Dunkin’ Donuts 5 . Specialises in: 1 ‘ sandwiches First franchise: 2 1950 all: Minimum capital required: | ? 7 $100,000 a2 Speaking Writing 2 Sd Now listen to Janis talking about how to run a franchise successfully What reasons does she give for paying particular attention to the following things? 1 Preparation Management Money management Vision Faith Work in pairs. Student A, read the franchise profile on page 156 and Student B, read the one on page 161. Use the information to make a short presentation of the business to your partner, explaining how it operates and what investments are required from franchisees. When you have finished your presentations, compare the two franchises and decide which you would be most interested in and why. e-mail ‘The tone of an e-mail message can be like writing or speaking. If you are writing to someone you don’t know then you should address this person as Dear Mr/Mrs/Ms X. You shouid keep the style of your message quite formal and finish with Yours sincerely or Best regards. However, if you are writing to a friend, you can start with Hi or Hello and write as if you were speaking to the person directly. 1 You have decided to e-mail the International Franchise Association, a non- profit making advisory organisation, for more information on the franchise that your partner told you about. Look at the screen for sending an e-mail and match the labels to the corresponding sections. ‘a e-mail address of people you wish to send a copy of the message to _ key words that describe the message you are sending € the text of your e-mailFranchising the icon for transmitting your message the icon that allows you to include a file with your message £ e-mail address of people you wish to send a copy of your message to, without them knowing that it is a copy § the icon for sending a message that you have received to another person. hn the icon for sending an answer to a message you have received i the address of the person you are writing to aes ‘odls Compose goon Se tae eghe Rech Al Fawr and eso} SB veld Be seh 9 15.28 | —~ js 1008 [Eelrto@ita.com & lez |) cick here to enter carbon copy recipients > 91737 25) cick hee to enter bed carbon copy ecient 9 1640 Franchising enquiy aoe fe s]fus] Bl 7 UQ|fE eR Es || 2 Dear Mr Barrat | would be very interested in obtaining more information about * PI franchise specialising in2___since*_. The latest information LJ that I have been able to find indicates that the total investment required of franchisees is ‘__and that the company charges fees of * per annum, Could you let me know if you have any more recent information about this franchise and confirm that the e-mail address is stil © __? Looking forward to hearing from you. Yours sincerely ai ea fe lg Ra eS Rsiat| |S BA O|| Diror-oumkemes [[PFenchsng main |EGHOO 1750 2 Complete the e-mail message using information from Speaking on page 42. 43International Business Styles Key vocabulary (9 The characteristics of management often vary according to nation: culture, which can determine how managers are trained, how they lead people and how they approach their jobs: The amount of responsibility of any individual in a company depends on the position that he or she occupies in its hierarchy. Managers, for example, are responsible for leading the people directly under them, who are called subordinates. To do this successfully, they must use their authority, which is the right to take decisions and ce orders. Managers often delegate authority, This means that employees at lower levels in the company hierarchy can use their initiative, that is make decisions ‘without asking their manager. 1 Read the portraits of managers in five different countries and decide which country each one corresponds to. * Germany + Poland + Sweden «The United Kingdom + The United States 1 2 Managers from this country Managers from this country ‘consider professional and techni ‘© receive a general education, be very important. * delegate authority. * have a strong sense of authority. + take a practical approach to management. ‘+ respect the different positions in the © have relatively formal relationships at work. hierarchy of their companies. ‘© encourage their employees to work ‘© clearly define how jobs should be done. individually. ‘© are very loyal to their companies and expect '* believe it is important to continue education their subordinates to obey them. and training at work, «© are often older than in other countries. 44International Business Styles 3 Managers from this country Managers from this count: = generally attend business schools. communicate easily and informally at work. | admire the qualities of a leader. | expect everyone to work hard. Individual performance is measured and initiative is * consider social qualities to be as important as education. * encourage their employees to take an interest in their work. * pay close attention to the quality of rewarded, working life. ‘+ have competitive and aggressive attitudes to. | * donot use as much authority asin other | work. countries. ; * often accept innovation and change. * appreciate low-level decision-making. I | * are often women, ‘Managers from this country ‘* have either gained their experience in state-owned enterprises or are competitive self-starters. ‘© older managers hold technical degrees rather than business qualifications. ‘© work very long hours and expect their subordinates to do so. ‘= are extremely innavative, optimistic and determined. * are quick to invest in the development of new products, market techniques and methods of production and distribution, 2 In groups, discuss the advantages and disadvantages of each approach to management, and say which one you would find the most attractive. Do any of these profiles correspond to management practices in your country?av 46 aa Learning to cope with corporate culture clashes ‘The dos and don'ts of travelling abroad are a potential minefield for the unprepared traveller. If you spit in some ‘countries, you could end up in prison. In others, spitting is a competitive sport. ‘The Centre for International Brifing has spent 40 years preparing the wary traveler for such pitfalls. Though it may sound like a covert operation for aspiring secret agents, what the Centre does is prepare travellers for encounters with new social and business customs worldwide. To date, over 50,000 people have passed through its headquarters at Farnham Castle in Surrey. ‘There are two broad tracks to ‘our training programme, explains lelf Toms, Marketing Director. ‘One covers business needs, the other social etiquette". For example, business travellers need to know how decision-making works. In China, it may be necessary to Trave government involved in any decisions taken. And in India, people are sometimes late for a scheduled appointment. —______ While we are familiar with the Shor firm handshake in this part of the world, in the Middle East the hand is held in a loose grip for a longer time. In Islamic cultures, showing the soles of your feet is a sign of disrespect and crossing your legs is seen as offensive Jeff Toms tells the story of a British employee asked to post a letter by her Indonesian employer. ‘She knew the letter was too late for the six ‘o'clock post, so she decided to hold it until the eight ‘o'clock one. Her boss saw the letter on her desk and sacked her for not posting it immediately. In Western cultures, we believe in empowering* people and rewarding them for using initiative, but other cultures operate on the basis of obeying direct orders. *to empower: to give sb. more control *to go a bomb (GB): to be successful ‘etiquette: polite behaviour “to bomb (US): to go badly “exuberant: happy, cheerful, fll of energy oie eS _“For them; ‘the, most senior person at the meeting will say very little, and the person doing most of the talking is not very important.’ Doherty has spent 12 of his 16 years with the IDA working abroad in the USA, Germany, South-East Asia and lapan. _ with a population of 125 million ‘condensed into @ narrow strip of land, private space for the lapanese is virtually non-existent. You can't worry about your personal space in a packed train when people are standing on your feet. Tiptoeing through the minefield Do * Show an interest in, and at least an elementary knowledge of the country you are visiting. + Leatn a few words of the language ~ it will be seen as ‘a compliment; + Be sensitive to countries who have bigger and better- known neighbours, and try not to confuse Canadians with Americans, New Zealanders with Australians Belgians with French; ‘+ Familiarise yourself with the basics of business and social etiquette, AS a starting point, learning how to ‘greet people is very important, Don't * Assume you won't meet any communication problems because you speak English. You may think you are paying somebody a compliment by telling them their business is going a bomb*, Americans will infer you think its falling ‘+ Appear too reserved. As Americans are generally more exuberant® than their European colleagues, they may equate reserve with lack of enthusiasm. The irish IndependentReading Vocabulary International Business Styles Mi 1 Read the text opposite about The Centre for International Briefing, which runs training courses for business people travelling to other countries, and complete the paragraphs using the sentences below. a ‘Ina country like Japan, the notion of personal space which we value so much simply has no meaning,’ he says. b In Asian cultures most of it takes place behind the scenes. ¢ The difference between understanding a culture and ignoring its conventions can be the measure of success or failure abroad. The Centre for International Briefing has spent 40 years preparing the wary traveller for such pitfalls. € John Doherty, International Marketing Director with the Irish Industrial Development Authority, explains how you can easily talk yourself into trouble at a business meeting in Japan: £ Greetings, gestures and terms of address are all potential hazards abroad. 2 in pairs, discuss these questions. ‘a What social etiquette is important for business travellers to your country? In your experience, what can be difficult about dealing with British or Americans? 1 Match the words from the text with their corresponding definitions. 1. abroad (para 1) something done in a society because of tradition 2 aminefield we \ 4 able to understand others’ feelings 3. a pitfall (para 2) ¢ in or toa foreign country 4 a custom (para 2) something that expresses admiration 5 etiquette (para 2) € to show or represent 6 scheduled (para 3) £ rude or insulting 7 tobea sign of (para 4) ga situation with hidden dangers, 8 offensive (para 4) hh formal rules for polite behaviour in society 9 a compliment (para 8) a likely problem 10. sensitive (para 8) j_ arranged for a certain time 47Vocabulary development: prefixes 48 2 Complete the passage using words from Vocabulary 1 in the correct form. Gift giving in the international bu: In Great Britain and the United States corporate gift giving is not a very popular "custom _; people can spend their entire working lives without ever receiving a corporate gift. However, gift giving is sometimes an integral part of the negotiation process when doing business 7 Itis important to learn about the ? of gift giving before sending or taking a gift to an international client or business partner, or you may find that your gesture appears 4 For example, in China a desk clock ® bad luck or death. Its aso interesting to note that the receiver never opens a gift in front of the giver as that would signify that the content was more important than the act of giving, Waiting for the person to open your gift would show that you were not © to Chinese culture. In France, don't give something with your company logo, as they find items like this impersonal and in bad taste. Giving knives in Italy, Russia or Argentina could lead to problems in ‘establishing a deal as this signifies cutting off the relationship! Giving flowers is another possible 7 In England, ‘Australia and Canada, some people see white ilies as a symbol of death while in Germany, yellow and white chrysanthemums could be seen this way. In the text on page 46, the word non-existent (para 7) consists of the prefix non- land the main word existent. The prefix gives the word the opposite meaning, 1 Match the prefixes with the groups of adjectives. dis iF im in- ir une ste possible probable precise b honest simitar organised < popular economical manageable a legible legal logical e complete expensive efficient f regular relevant responsible In which of the six iss do the adjectives have something in common? 2 Add prefixes to the following adjectives. a unlikely b respectful © polite rational € literate f frequent lawful h proportionate i resistible j liberal k mature 1 helpful | 3 Add one more adjective to each group above,The imperative Practice International Business Styles Language Focus ‘The imperative has the same form as the infinitive without to. It is used: * to give orders or instructions, for example on packaging, labels or documents. Fill int the form in block capitals. Empty the contents into boiling water. ‘+ to give strong advice. Avoid showing the soles of your feet in the Middle East. If you want to be emphatic you can use do or always Do learn a few words of the language. Always familiarise yourself with the basics. ‘The negative is formed by using don’t or never. Don't appear too reserved. ‘Never cross your legs in the Middle East. >> For more information on the imperative, turn to page 166. ‘Complete the sentences below using the expressions in the box in the correct imperative form, positive or negative. study invest expect (x 2) assume increase beware 1 __Leave _ attitudes like ‘my way is the only way’ behind. , be curious and fascinated instead. 3 some time in preparing yourself for encounters with other business and cultural styles. 4 your understanding of the countries and cultures you are visiting by attending cross-cultural seminars. 5 ______the general protocol and etiquette of the country or countries you are visiting. 6 delays, frequent changes in plans and cancellations. 7 ___to have easy access to your e-mail while on the road. In some cases it may be impossible to log on to your internet server remotely. 8 when negotiating prices. 9 that market or sales techniques that work in your country, work in others 10 of drinking too much alcohol over a business lunch; you might need to make important decisions. 49Poiana Adjectives of Look at these examples from the text on page 46 nationality Country: in Chima, it may be necessary to have government involved (para 3) Nationality: Jeff Toms tells the story of a British employee. (para 5) Inbabitant: When talking about the inhabitants of a country we generally use the adjective of nationality. Private space for the Japanese is virtually non-existent. (para 7) >> For more information on adjectives of nationality, turn to page 166. Practice Match the words from the three columns below to make sentences. Transform the names of the countries into adjectives. Example: IBM is an American computer company. 1 Hola Denmark furitre rete 2 Ferra norway coms 3 Evian France computer company ice one beer 5 tin Spain electronic company 6 AG 5 \ tintin industrial company 7 Philips USA mineral water 8 Carlsberg, Britain. seaport 9 IKEA rey aitne 10 BBC1 Portugal car manufacturer 11 olympic Russa photographic company fa aa Germany woe 13 Aner As Greece tmobile phone company caer tly wekly magazine 15 Nota Sweden television channel Skills Focus Writing A memo A memorandum (or memo) is a very common form of business communication which is exchanged between members of the same organisation. The memo usually focuses on one message or piece of information, and often requests action to be taken. It may be sent to a single person or a group of people. ‘There are many different techniques used in memo writing, but several basic rules should always be applied: ‘Since memos are a litte less formal than business letters, itis best to use simple Janguage and a neutral tone, + Keep your memo clear. Use short, simple sentences. + A memo should not be any longer than one page. Most people do not have time to read long memos. * The opening and closing formula can be more direct, and less formal than in a letter. Pharmatec Pharmaceuticals is sending a delegation of executives to Japan for the first time to negotiate an important contract, o the executives are going to attend a series of seminars given by Tomomi Moriwake, a Japanese consultant. Read the memo from the Managing Director to the Human Resources Manager and match the parts of the memo (1-6) with the descriptions (a-f) soInternational Business Styles Memorandum @©———_ owe oh une @O———_ 0 Vincent Mils, Human Resources Manager FROM Philip Groves, Managing Director @-O——— SUBJECT _ Seminars on Japanese culture and management Philip a The trip to Japan has been confirmed for the 15" of next month. I've decided to 90 ahead with the seminars as we discussed. [Could you contact the consultant you mentioned and get back to me about the folowing: @-O—— « the topics she covers '* short description of each topic whether you think we should use her services or look for someone else [We haven't much time, so could you do this a.s.a.p. and also check the ©-O——avaiatity ote executives who wl be involved in ts taining The ‘body’ of the memo. b A short heading which tells you what the memo is about. ¢ When the memo is sent. 4 The conclusion of the memo, which often recommends a course of action. € Name of the person to whom the memo is sent. £ A brief introduction to the memo giving the most important information. 51Tilia Listening © Listen to the Japanese consultant discussing the content of her seminars and make notes under the following headings. These notes will help you to organise the memo which you will be writing. Emphasis on the group Human relationships Japanese managers p groupInternational Business Styles Role-play —_ Giving and asking for advice Student A You are a cross-cultural consultant hired by a foreign executive who is going to do business for the first time in your country or a country you know well. Prepare some advice to give your client about business practices. Use these topics to help Use of language: addressing / greeting (formal? informal?) Non-verbal communication: handshaking, gestures and silence? Business negotiations: punctuality / respecting the agenda? negotiating styles; direct? indirect? When Is the right moment to mention money? Socialising: attitudes: gift giving, eating, humour? conversation topics (religion? politics? salaries?) The following structures will help you to answer the questions that your client (Student B) will ask. You should always / never. Twwould advise you to .. Don't forget .. Never ... Do... Always .. Itis important / essential to Tt would be a good idea to Student B You are a business person going to negotiate in a foreign country. As part of the Preparation for your trip, you have arranged to meet a consultant (Student A) who is an expert on the culture of the country. Using the headings below, make a list of questions to ask him / her. Use of language Non-verbal communication Business negotiations Socialising Examples: first name? greetings? business cards? topics to avoid? 53Grammar check 1 Underline the correct forms of the words in italics. My name is Alexander Hertbach, I'm a 27-year-old mechanical engineer and at the moment |" am working / hhave worked for a company in the South of Germany where |2.am / have been since |3 have left / lft France last July. Actually | have * already / recently spent most of my life here in Germany because that is where | 5 complete / completed my secondary and university education. Before | 6 have graduated / graduated | went on a European study programme in ? Britain / British for one year. After university | ® jin / joined an American Company in Berlin and subsequently 1? moved / have ‘moved to France when the headquarters were transferred there. In my present job my duties 19 are including / include supervising our activities in what we cal ‘the rest of the world’. Basically this "! means / is meaning that I'm responsible for giving our representatives there our ‘commercial and technical support. Its a new job for me so 'm }2 currently / usually earning exactly what it 13 involves / is involving. However, there are many new things that I'm still not "used to do / used to doing {At present our company '5 is expanding / has expanded its activites outside of its main market, which is Europe, and we 'S develop / are developing our network of agents, particularly in South Arica and Brazil. 117 used to think / am used to thinking that it was enough to speak two foreign languages but ! now realise that the more languages you speak the better you communicate. That is why 18 always / sometimes take every opportunity to develop my language skills In order to prepare for my future as a manager | 19 intend / have intended to study for an MBA. In fact my boss 2° has agreed / agrees to give me one day a week off work for this. 2 Underline the mistake in each sentence, and correct it. 1. We have received several applications for the position; one of the best ones is from a Erench. French person Credit cards can be used in the checkout. 3. The company was founded in Germany and is still faithful to its Dutch origins. 4 Have you received the letter I sent about the ‘mistake your company did? 5 I'm not very tall, so it's difficult to reach items at the bottom in the supermarket. 6 What did you like most about the last work you did? s4 7. The position of Marketing Director is below that of sales assistant. 8 The Finn company Nokia is one of the leaders in the mobile phone sector. 9 Awell-written covering letter can do the difference between a successful and an unsuccessful application. 10 The Ireland President announced her intention to encourage foreign investment. 3 Complete the sentences below, using the words in the box to show what changes have occurred between last year and this year. Use each word once. decline drop increased raised risen rise gone up fell reduction reduced 1. Tax last year: 10% Tax this year: 12% ‘The government has_ raised tax. million 8 million ‘There has been a production. 3 Price last year: $50 Price this year: $35 ‘The price of this product has been car 4 Employees last year: 40 Employees this year: 75 ‘There has been a in the number of employees. 5. Orders last year: 10 million Orders this year: 8 million Orders this year. 6 Investment last year: $500,000 Investment this year: $650,000 ‘The company has investment in new equipment. 7 Franchisees last year: 120 Franchisees this year: 300 ‘The number of franchisees has 8 Budget last year: 100% Budget this year: -25% ‘There has been a the budget. 9 Franchise fees last year: £30,000 Franchise fees this year: £35,000 Franchise fees have 10 Sales per outlet last year: $1,000,000 Sales per outlet this year: $850,000 ‘There has been a in sales per outlet.Vocabulary check 1 Complete the boxes with the words and expressions from the list below that are most commonly associated with each theme. ‘Company Structure Recruitment Retailing Franchising -deparkment shore ‘Management department store ‘mass market operation manual royalty organisation chart IT corporate culture subordinate applicant cv authority subsidiary interview head-hunter headquarters ‘management services fee front end fee range discount decision-making 2 Replace the words and expressions in italics with words from exercise 1 which are similar in meaning, in the correct form. There were hundreds of " people who sent letters of application _appiicanks for the post of Chief Buyer in one of our 2 large city centre outlets selling a variety of different products Our Personnel Department couldnt possibly study all the 2 documents containing education and employment history ‘which we received. They had to call on the services of a 4 search firm to help them compile a short ist of the most suitable people to > meet with to talk about their experience and qualifications ‘We were looking for someone with good communication and organisational skill. Furthermore this is a position that requires someone who is capable of ® deciding what action to take and can get ” the people who work under him /her_____ to reach their objectives. The job involves monitoring performance and ensuring that our large ® variety of products is always up to date. The final Review 1 selection process was organised at our 9 main office —___. The successful candidate is now 19 given extensive training in order to help him to adapt to our "® company philosophy and style of working 3 Complete the extract from the letter of application below, using an expression from A in the correct form and a preposition from B. A B to believe from’ to collaborate in (x4) to result to to report on to benefit for (x2) to apply with to work to be responsible to be involved to succeed Lam writing to? the position of Senior Computer Prograrimer. As you can see in my enclosed curriculum vitae, I already hold the position of Team Manager where [?______ three programmers who? _______ me directly. ‘As an additional part of my job Thave to + other Team Managers from different divisions of the company. I have recently 5 a major research and development project where my team was asked to 6 a new network application for the company’s accounts department. During this project we 7 solving a number of complex technical problems. This programme is now in the final stages and once complete will 8 considerable savings in both cost and time. While I am happy in my present position, 1 Would welcome the challenge of managing a bigger, team. I firmly ? the value of teamwork and power sharing which I know are important elements in. the working environment of your company. Moreover, I feel sure that on both a personal and professional level I would be able to 0 the opportunity of working for a company with such a well-established international reputation, 58.6 Banking Key vocabulary (3) The banking sector in the United Kingdom is made up of a variety of institutions 56 supervised by the country’s central bank, The Bank of England. This bank looks after the government's finance and monetary policy and acts as banker to other banks. However, for the general public and many businesses, banking services are provided by ‘commercial banks, or clearing banks, which have branches throughout the country. These banks offer a wide range of services which include accepting deposits, making loans and managing customers’ accounts. Merchant banks, on the other hand, do not deal with the public but specialise in services for companies or corporate customers. They are particularly active in arranging mergers and acquisitions and in advising on aspects of corporate finance. 1 tn pairs, make a list of the different services that banks in your country provide for the general public. Tick the services that you use Example: current account 2 © Listen to Eleanor Stevens, an HSBC Bank branch manager, describing the bank that she manages. Make notes under these headings. Location Number of customers Opening hours Services offered Number of employees Role in the community How do the services offered by this bank compare with those available from a bank of a similar size in your country?Banking 3 Match the banking words with the illustrations below. 1 chequebook (US checkbook) §, 6 bank notes (US bills) 2. bank statement 7 coins 3. credit card or debit card 8 keyboard 4 bill (US check) 9 screen 5 traveller's cheques 10 cash machine or cashpoint (US traveler's checks) (Us ATM) ® 4 Which of the items would you use if you needed to check how much money you had in your bank account several weeks ago? take money with you fora visit toa forelgn country? See how much you have to pay for the electricity you used last month? send payment by post? 5. take money out of your account on a Sunday? Rw 57PT ae ib i | j j Reading 1 in pairs, make a list of the services that a company would expect from a bank. 2 Read the text which describes the Bank of Scotland’s Home and Office Banking System (HOBS), and see which points in your list are mentioned. > ww the scene 185 6.30 on Monday morning. You're on a shuttle en-route for London and a crucial meeting that wit! play @ large port in deciding the future of your business. You need the most up-to-date financial information you can get, including 5 detoils of cheques presented” today. But it an hour and a hol until the bank opens. ‘Now you can unlock all the information you need for the ‘meeting quickly and simply. Just boot up your laptop and, using data downloaded from Bank of Scotland's centro! 10 computers, the information is there ot your fingertips. You ccan group accounts to give you an overall view of your ‘business's financial position, focus on the net position of o particular area of the business ~ even prepare reports. HOBS, Bank of Scotland's Home and Office Banking Service, 15 is perfect for people lke you who are too busy running their business to worry about fitting in to banking hours. THE KEY TO ..fi.nanci.al..conk.ra. 35 «0 4s 50 ss « THE KEY TO co With HOBS, you no longer have to devote valuable time to routine transactions or ft your business into banking hours. Control your accounts whenever it sults you, 24 hours a day, 7 days 8 week THE KEY TO i Connecting to HOBS costs ust the price of a local phone cal from anywhere-in the UK. Further built-in features, such a5, off-line* processing, mean that the amount of time you reed to be connected to HOBS is kept to 3 minimum. THE KEY TO Aseries of advanced, built-in features maintained in your PC allow you to restrict access to designated users, and to specify exactly what information each individual can access and what transactions they may cary out THE KEY TO (5) Corporate HOBS has been designed to dovetail” with your cxsting financial software, giving you a choice of account reporting and payment processing facilities and a smooth transfer of account information to and from other packages such as Sage ® or Pegasus ® ‘The BACS Direct facility's ideal forthe distribution of wages, salaries or expenses, and the template function saves you from having to re-Key similar data each week / month. A database of beneficiaries [suppliers, employees) is maintained on your PC. THE KEY 10 6 When you have urgent payments to make, the CHAPS function enables you to send funds for same-day credit subject to a cut-off time of 3pm. ‘The Bank of Scotland | itn H0BS in your office, you can + access comprehensive, up-to-the-minute 20 information onal you steting, foreign cureney i and eet card accounts, i «inate BACS" payment o pay salaries wages, i suppliers et. «inate CHAPS* and interrational payment. [25 © teanster money into between you aecounts : © check all your standing orders and direct debits. j + locate specie transactions quickly using a ange of search eter, + open an exusve HOB Investment Account to 30 make surplus funds work aly ard for you “i present o cheque opus a cheque rom the rectvers tank tothe payers ban or payment spt tt “offi ot connected tothe nee 58 | stoaovera to together pert *BACS: Bankers Automated Clearing Services, This company works with the banks to initiate computerised payments “CHAPS: Clearing House Automated Payment System. This is 1a system for dealing with high-value payments bomBanking 3 Complete the headings in the text with these words, a Security Flexibility b Costeffectiveness © Convenience ¢ Financial Control £ Driority Payments 4 Read the text again and decide if the following statements are true (I) or false (F). 1 You can only use HOBS during normal banking hours. oO 2, HOBS cannot provide information about accounts in dollars a 3. The telephone charges for using HOBS are the same all over the UK. o 4 You can control who can obtain information from the system. o 5 Using CHAPS, you can make a payment to someone and they will always receive it on the same day. o Vocabulary 1 Complete the crossword using words from the text. CLUES Across Down 1 {n) Regular payments 1 (n) Giving things to a from a bank account large group of people. to.an organisation. dine 52) (line 26) 2 words) 2 (0) The business of 4 (a) Money your looking after people's employer pays you money. (ine 33) every month. (line 22) 3 (n) Movements of 6 (ad) The amount that mone into or out of remains after ‘customers’ accounts. everything else has (ine 33) been deducted. (ine _(n) Giving 2) information. (line 49) 9 (n) Money you make 7 (a) Very important, ‘when you work, needed very quickly. usually paid weekly, in (line $8) cash, (line 22) 8 (n) Information or 10 (adj) Ordinary and facts. (line 9) boring. ine 33) 11 (0) To make something 12 ()Thecallsare cheap; do what you want it they don’ to. (line 34) such. (ine 37) 13.) To move something 17 (a) The currency unit from one place to of the United another, line 25) Kingdom, based on 14 (n) Amounts of the pound. (line 20) money. line 30) 18 (1) Tofind the space or 18. (n) The amount of time for something. ‘money for which Aine 33) something is sold or 20. (n) Money used in bought. (line 37) another country. (lie 16 () Fist you need to 20) (2 words) —___ an account. Gine 29) 19) To give money. Aine 22) 59Paes 2 Complete the passage using words from the box and the information i bank statement below. credit account cash transactions payment balance deposit cheque debit debit card Jane Sadler opened her '_account _ with the Medway Bank on 28th January with cash 2 ‘of £300. On 15th February she wrote a ?. for £53.25 and this appeared asa‘___on the bank statement on 20th February. On 22nd February she took out £60 in ® from a cashpoint machine. On the following day the bank debited £33.50 from her account for a she had made using her ?. Her monthly salary was paid directly into her account and this appeared as a ® ‘of £802.20 on 26th February. There were no further ° ‘on her account and she finished the month with a '° of £955.45. pcoUTNMEER HES Sarewemrwowsen met Medway SoumeNT one T aR 00 Bankpic Me Sue ah 1S Eo Mews oy © roan SWS Opening deposit ‘Cheque 000001 Autobank AB69301 Oxford Stet Maiand and Co Benet sn Sons 3 Underline all the words and expressions related to computers in the text on page 58, Match the words and expressions with the definitions below. 1 2 3 Nowe to make a computer ready to be used bok _up a small computer that you can carry with you 1 to move information or programs from one part of a computer system to another the key words used to find information in a database the analysis of information by a computer program the sets of programs in a computer to type information into a computer again neo eeVocabulary development: abbreviations Allow, enable, let Practice Banking @ ‘A number of abbreviations are used in the text, for example PC (line 56) for personal computer. 1. Put each business abbreviation below into one of these categories. time money people companies other vaT fis} Ld y Pa} asap Tou} MD} acm}. SFr Corp | N/A AoB f PAYE CEO ple | GMT | am. 2 What other abbreviations do you know for each category? Language Focus ‘The verbs allow and enable can be used to express possibility. Look at the following examples from the text on page 8. Features maintained in your PC allow you to restrict access to designated users (line 43) ‘The CHAPS function enables you to send funds. (line 59) ‘The same idea can be expressed using the verb let. HOBS lets you group information fiom different accounts. While allow and enable are followed by an object and an infinitive with to, let is followed by an object and an infinitive without to. Write a sentence about each invention using allow, enable, let. Use each verb twice. Example: A credit card allows you to buy goods and pay for them later. 1A fax machine 4 Amodem 2. A laptop computer 5 Actedit card 3. A mobile phone 6 E-mail ®@First and second 62 conditional Practice Look at these sentences, then complete the explanations that follow, using the words in the box. A. If you transfer your money to a deposit account, you'll (you will) earn more interest. B If had more money, I'd (I would) invest it on the Stock Exchange. first conditional is unreal second conditional may possibly happen is unlikely to happen 1 Sentence A is an example of the refers to a situation that ‘The conditional clause (if...) 2 Sentence B is an example of the ‘The conditional clause (if ...) refers to a situation that. or >> For more information on the first and second conditional, turn to page 166. 1 Decide which of these things may happen to you and which are unlikely to happen. Write complete sentences using the appropriate verb forms. 1 If/ go abroad next summer / change / some money into traveller's cheques. TF I go abroad next summer I'\ change Some money into Lraveller’s cheques or Tf T went abroad next summer I'd change some money ino Lraveller’s cheques If / lose / credit card / inform / the bank immediately. If need some money / ask / the bank manager for a loan. If / find / mistakes on my bank statement / change / to a different bank. If/ earn / more money / be able to / save more. 6 If / order / chequebook / get / it before the end of the week? ween 2 Read the problems below. In pairs, discuss what you would do in each situation. 1 You have spent the last month preparing a report for head office. You have just learned that your boss has taken all the credit for the work. 2 Your boss gave you a highly confidential report to read over the weekend. Now you cannot find it and you think you may have left it on the train. 3. You have been sent to negotiate an important new contract for your firm. During the negotiations your counterpart makes it clear that he expects a personal cash contribution (a bribe) from you if your company is to win the contract. 4 In your CV you lied about your qualifications in order to get the job you wanted. ‘You have just been offered the job, but your new employer has asked to see your certificates. 5 Two years ago your company signed an agreement to become the exclusive importer of kitchen equipment from a Swedish supplier. You have just received confirmation that another company is selling the same products at a lower price. 6 You have just seen in your bank statement that your employer has paid you £500 more than your monthly salary.Banking @ Business Skills Focus: Negotiating Reading 1 Complete the following questionnaire. 1 = strongly disagree 10 = strongly agree can stay cool when | am in the middle of a conflict. 2 lamwilling to compromise when | have to. 3 | realise that others have needs. 4 lam very patient. 5 I can identify the most important issues quickly. 6 If necessary, | can remain calm when | am being personally attacked. 7 ‘milling to research and analyse issues carefully. 8 | believe in, and work towards, situations where both sides can win. 9 I can deal with stressful situations. 10 |ama good listener. ‘Buruens jeuonppe owios 128 pue woneoBou ynoge sopnyaye snod Jo ouos _yunnas or em hous nok 9g mojaq Sea 21008 Jnok y “noid 03 paeU NOK 04 ‘eave auios 218 124) 199 so\en0Eau pooB @ exeUL uA MOA “bz pue 09 WoaMIEG 2 | paoas nok y zowenabeu poob eyo sBuryew ayn axey pue vonenoB—u w senss) ueyocuy aya 40 3904 40 azeme ave nok ‘anoge 40 08 sem 21098 /30} nok yf 2 Discuss the scores with your partner and suggest areas for improvement. 63Listening Mark Cowan is the owner of a new shopping service called ‘The Pedigree Page’, specialising in providing a variety of products for pet owners which can be ordered on the Internet. + sete 4 STR TTTOT apne The @ @ P ee. ey Page ji ° ‘The Pedigree Page provides pet owners with uipment e: a comprehensive selection of products to sult da,” ® your animals needs. | © Listen to the dialogue between Mark Cowan and his bank manager and answer the following questions. ‘a Why is Mark Cowan meeting the bank manager? b What is the bank manager's response? 2 © Listen to the dialogue again. Which speaker does the following things? Write ‘M’ for Mark Cowan, and ‘B’ for the bank manager. Note the language used in each case. Making a proposal [fe] =’ eke ko brow if you'd be prepared bon. Rejecting a proposal lata antares Asking for clarification Imposing conditions ‘Accepting a proposal Confirming an interpretation =] OO000 anmene Roleplay This is a meeting between a bank employee (Student A) and a business person applying for a loan (Student B). |] Prepare your role with a student who has the same role as you. Student A, turn to page 162. Student B, turn to page 157. 2 1m pairs, hold your meeting. Student A: Write a short report for the director of the loan department of the bank, summarising the decisions that were reached and outlining the action that you would recommend. Student B: Write a short report for your business partner, summarising the decisions that were reached and outlining the action that you would recommend. 64Key vocabulary © Lead-in Business and the Environment Itis often said that we live in a consumer society; we consider it important to buy products and services. Companies need to be aware of the impact of this on the environment, the natural world around us. Many companies use packaging (boxes, bottles, etc.) which has been reeycled, that is made using old materials. Pollution, such as smoke in the air, can be reduced if companies use trains instead of road transport. |L in groups, look at the cartoons below and discuss these questions. ‘+ Which environmental threat does each cartoon refer to? + Which cartoon do you think is the most effective? + Which environmental cause do you think is the most important today? ‘These words will help you. ozone layer ‘slobal warming oil spills chemical / nuclear waste rubbish bin (GB) trash can (US) 65In groups, discuss these statements made by Anita Roddick, founder of The Body Shop International. Do you agree with any of them? Why? Why not? ‘A good business should be part of society, and you have to have pride in what you do. There’s no pride in making millions of pounds, but there is pride in helping people and the environment. The idea now is global responsibility. Businesses are the true planetary citizens, they can push frontiers, they can change society. In the next decade, environmentalism will be the most important issue for business. As consumers become increasingly concerned about the environment, more and more companies claim to be producing ‘environmentally-friendly’ products. Read the claims below and match each one to the company that you think made it. a cosmetics firm a fast food chain jar bsacsceiedel BR ks wbeebe on a, q & 3 A 1 ‘We provide refills for all our bottles.” 2 ‘All our packaging is made of biodegradable materials.’ 3. ‘When you've finished with our products bring them back, we recycle them.’ 4. ‘Our latest model is much less polluting.’ What other companies with environmentally-friendly policies do you know? Read the text below and write three questions you would like to ask about Patagoni Read the text opposite and see if you can find the answers to your questions. Can you guess the answers to your other questions? Read the text again and answer these questions, 1 According to the text, why are Patagonia’s customers so loyal? 2. In what ways does Patagonia make efforts to explain its products’ ‘earth- friendliness’? 3 What is the overall objective of Patagonia’s environmental education policy? 4 How does Patagonia reassure customers who might question their claims to be environmentally-friendly? 5. How do customers react to Patagonia’s grants projects?Proven environmental commitment helps create committed customers Jacquelyn Ottman ‘When self proclaimed ‘Patagonics’ dial up Patagonia, they now they will receive more than a high-quality fleece ‘anorak or a waterproof pair of hiking boots. Thanks to the California-based retail firm’s outdoor clothing catalog and its exemplary method of communicating its corporate ‘environmentalism, customers are not only knowledgeable about the company’s environmental progress, they are loyal, to. When purchasing products from Patagonia, customers also buy into a commitment to environmental restoration. Patagonia’s example demonstrates good green-marketing strategies. Educate consumers on environmental product attributes and benefits. Patagonia takes pains to explain its products’ earth: fiendliness and show customers the big. picture. For example, in the mid-1990s, Patagonia began_using organically-grown cotton exclusively. In addition to highlighting the organic merchandise in product descriptions in catalogs, essays explained why organically- produced products are environmentally preferable. Other essays expanded the issue beyond individual products and processes. In a 1996 catalog essay, for example, CEO Yoon Chouinard explained the rationale behind the company’s switch to organically-grown cotton, including the problems associated with producing conventional cotton, the larger long-term benefits of esting in organically-grown products and the need to think about long-term sustainability issues when choosing products. (One might assume that explaining the benefits of organic cotton in catalogs was a strategic move, since the company had to justify the $2 t0 $10 premium per garment. But ‘other essays, for instance, addressed environmental issues not directly linked to company profit. Broad environmental education teaches consumers that although thinking and buying green is more expensive, ‘environmentalism is less taxing on the earth in the long run, and therefore, on individuals. “loyal always supporting “organic: made without artificial chemicals ‘to engage sb. to attract sb. and keep their interest *a backlash: a strong reaction against sth, *to dub: to give an ‘unofficial’ name “through (US): until (GB) “grassroots: atthe level of ordinary people “biodiversity: many different plants and. animals existing in one area ‘resource extraction: taking natural products {rom the earth Business and the Environment Use a variety of media. Patagonia’s advertising and company literature aim to educate. Instead of a catalog packed only with sales information, Patagonia’s catalog is more like National Geographic: Demonstrations in Patagonia’s retail stores cengage® customers with interactive displays of the earth's processes. Annual reports, pamphlets and other company literature explain new ideas in environmentalism. And was one of the first companies to discuss sustainability in paid media Demonstrate tangible corporate ‘environmental progress. 8 Patagonia realizes that customers sometimes doubt corporate environmental claims. To avoid consumer backlash*, Patagonia publishes the results of its internal environmental assessment. 9 This report reviews all office, production and merchandising activities and uncovers opportunities to cut waste and reduce energy. Readers can see how Patagonia tries to conduct business in a socially responsible manner, from choosing long-lasting efficient light bulbs. to providing on-site child care for employees’ children. The grounds around the company’s headquarters even feature edible landscaping ~ banana trees. 10 Through an environmental grants program, dubbed* Earth Tax, Patagonia pledges 1% of its sales or 10% of its pre-tax profit, whichever is greater, to small, local preservation and restoration efforts. Through* April 1997, Patagonia had contributed more than $8m to hundreds of| such organizations. 11 Believing that grass roots* efforts do the most to raise community awareness of local problems, the Earth Tax program targets smaller grass roots organizations committed to issues such as biodiversity*, old-growth forests, environmentally preferable methods of resource extraction®, alternative energy and water, social activism and environmental education. By funding more than 350 fof these efforts each year, Patagonia helps raise community awareness nationwide. Empower consumers to take action. 12 An annual Earth Tax Report invites customers to apply for grants for local projects. Participants are quick to apply and inform the company about environmental successes. One recent catalog featured a customer sporting an insulated Patagonia guide jacket as she rescued a calf born during a Colorado snow storm. 13 With powerful communication, meaningful corporate environmental progress and avenues for. consumer activism, it is no wonder that even skeptics become Patagonia customers and customers become ‘Patagonics. Marketing News 6768 Vocabulary 1 Complete the passage below using these words from the text. a sustainability (para 4) empower (para 12) product descriptions (para 3) commitment (para 2) © catalogs (para 3) f organic (para 3) Patagonia is an outdoor clothing firm with a strong '_commitment. to environmental causes. It sells its products through retail outlets and by mail order. Patagonia is renowned for its spectacular * which are filled with unusual and dramatic photos (all taken by customers) displaying the clothing in exciting ways. They also contain detailed ® which include definitions of materials and explanations of manufacturing processes. ‘The company makes jackets from recycled plastic bottles and produces clothing from ¢ materials. It offers courses to its employees on non- violent demonstrations and even pays bail for employees who get arrested. It also donates money to environmental groups and generally supports efforts that ® consumers to take action. Patagonia’s strategy isn’t just to give away money to good causes but to pioneer new, long-term practices of ¢ in business, prove their economic viability and persuade other businesses to follow. 2 Find words in the text which have the opposite meaning to the words below. 1 imperfect (para 1) exemplary 5 separate (para 5) 2 uninformed (para 1) 6 taken (para 10) 3 innovative (para 4) 7 locally (para 11) 4 uncalculated (para 5) 8 failures (para 12) 3 Match the nouns and verbs as they are used in the text. 1 address a business _ 2 doubt b awareness 3. publish results 4 conduct issues 5 raise claims 4 Replace the words in correct form. ics with expressions from Vocabulary 3 in the 1 The speaker will tak about the difficulties we are likely to encounter. odtress Lhe issues The company runs its affairs in an ethical and honest manner. 3 The government will make public the conclusions of the environmental study next month. 4 We are running a campaign designed to increase public knowledge of the current crisis. 5 Many consumers don’t believe statements made by companies about their products.Vocabulary development: word building Business and the Environment @ ‘With some words itis possible to create several Look at these examples. Verb Noun’ Noun’ ‘Adjective (idea) (person) = ‘environment environmentalist environmental ‘activate activism activist active activity 1 Complete the table below, using a di with the same spelling. tionary. Some words may have two forms Verb Noun Noun ‘Adjective (idea) (person) produce G (etcieney) (raking ot) progress = : (upporing new ideas) ‘manage eee eee | (flaing to senior stat) direct 1] ct u add to these words? r —¢ sustain == od employ yi In groups, discuss these questions. 1. What do you think of Patagonia’s approach to business? 2. Are consumers in your country concerned about the environmental policies of businesses? 3. Would you pay more for things produced in an environmentally-friendly ‘manner? If so, how much more? 69unit seven Expressing contrast Practice The passive Language Focus Look at the following sentence from the text on page 67. Although thinking and buying green is more expensive, environmentalism is less taxing cn the earth in the long run. (para 6) 1 Join the sentence halves below. ‘we still haven’t reached our target. people are still buying them they are keeping their prices low. ‘we can reach our output deadline. the long-term economic outlook 1s optimistic. In spite of the present recession, Despite rising costs, Even though our products are expensive, Although profits are increasing, Despite the fact that our supplies were late, eevee Caoce 2 Im pairs, underline the expressions of contrast in exercise 1. Which are followed by: a subject + verb? b noun or verb + -ing? >> For more information on expressing contrast, turn to page 167. Join the pairs of sentences using an expression of contrast. Use each expression ‘once. Examp! Patagonia sales fell in the 90s. Their reputation for high quality didn’t decline. In spite of a fall in sales in the 90s, Patagonia’s reputation for high quality didn’t decline. 1 Young people are concerned about the environment. They can’t always afford environmentally-friendly products 2 Patagonia makes efforts to convince other companies to use organically-grown, cotton. Many companies resist because it costs more. 3 Pollution is rising in Paris. People still prefer to take their cars to work. 4 Many countries organise separate waste collections for glass, paper, metal and plastic. Many others don’t. 5 Most beauty products carry the label ‘against animal testing’. Some of the components may have been tested on animals. Look at the following extracts from a Patagonia brochure. A. Patagonia saves thousands of gallons of oil by diverting millions of plastic bottles from landfills to recycling plants. B For every 3,700 (2-litre) bottles that are recycled, a barrel of oil (42 gallons) is saved. What form is the verb in bold in each sentence? What is the difference in emphasis? >> For more information on the passive, turn to page 167.Business and the Environment Practice ‘1 The following extract describes how Patagonia uses recycled plastic bottles to make material for jackets. Put the verbs in brackets in the passive form to complete each stage of the process. be Batra Botties The plastic 1 2 (convert) (bring) to the local into small pieces and recycling centre. 2 (chop) : into flakes. pottles to p, The flakes (melt) and shaped into aes fine fibers. (make) into clothes known . ‘as ‘PCR synchilla clothing’. ° Fabric to Clo The recycled fibers ° & (ship) to Patagonia the mi 2 Rewrite the following sentences using a passive form. Omit the agent if it is not important. Example: Patagonia introduced recycled fleece into its range in 1993. Recycled fleece was introduced in 1993. 1 Consumers will buy more and more ‘environmentally-friendly’ products. 2 Consumers should take plastic bottles to the local recycling centre. 3 Patagonia can make 150 synchilla garments from 3,700 bottles. 4 The company has recently added a new item to the product range. Many companies are developing green-marketing strategies. Skills Focus The Body Shop International is a highly successful franchise skincare retailer. It is against using animals in testing cosmetics, very active in community projects, and particularly well known for its involvement in environmental causes. THE BODY SHOP = Listen to eight customers in a London Body Shop branch, and note the reason(s) each customer gives for buying Body Shop products. nunit seven Speaking — Convincing a sponsor Like Patagonia, many companies sponsor, or contribute money towards, events or activities to maintain their image or to create a new image. Sponsorship can cover a whole range of activities including sport, education and local community projects depending on the type of image the company wants to project. For example, IBM sponsored the 2000 Olympic Games in Sydney, and Coca-Cola sponsors 151 American college students every year. 1 In pairs, make a lst of companies which sponsor activities lke those mentioned above. What kind of image does each company want to project through its sponsorship? 2 in groups, choose one of the following projects which need sponsorship. 2 An environmental canse You are menbers on wea avltonmental group nae ean trees in urban areas. Yo Be rgansng ace pane! "mony inthe maid Your town centre. You need ff ors and wpe COPY for the Planting to but the sponsors numer ee 4 ATV documentary You are directors of a video company. You have been commissioned to make a programme for national TV about the effects of pollution on marine life in the Pacific, as part of a wildlife series. It is also your job to find a sponsor to finance the sophisticated equipment and specialised crew members necessary to make this programme. 3 Choose an international company to approach for sponsorship. Discuss what your project can offer them and prepare the arguments that you will use to persuade them to sponsor your project. Look at the checklist of questions opposite that a company will ask itself before sponsoring a project. How will your project satisfy the company with respect to these questions? 72oO 999999999 © 9® ©9900 ® | Writing Business and the Environment Will the project appeal to our customers? Does it have a logical link with our company? If not, could one be developed? Is it unique or one of many similar things on offer? Will there be other sponsors? If so, are they our competitors? ‘What kind of media coverage does the project offer? (for example, local press, TV, company name / logo on T-shirts, programmes etc.) What are the chances of it being successful? (We don’t want negative publicity.) If our sponsorship is @ success, will there be future opportunities to continue our ‘connection with the project? Does it present an opportunity to invite our employees or shareholders as observers or participants? Are any of our customers involved directly or indirectly in this project? 1 in the same groups, write a letter to the company asking them to consider pany asking your request for sponsorship. Use the guidelines below to help you. Dear. (openi ber of a team aragraph) \ arn a memt (Oper iy cure working on (ese the seat in general terms). Lam contacing YOU Peace (introduce the idea of their possible in in te project) t giving nd paragraph, outline the projec Fr ead ate. Give secrets Wy the project should ineest he company, inulin possible media coverage, customer appeal, «an the closing paragraph, say how you hope the project will be of interest to the company.) (Closing formalities and signature) 2 Read the other groups’ letters. Consider each one as if you were the company directors. Which project would you choose and why? 738 The Stock Market Key vocabulary (3) A company can raise money on the stock market or stock exchange (a market place for buying and selling shares) in two different ways. It can issue shares (US stocks), or units of its capital, to Institutional investors or the general public. Different types of shares or equities are available, but the most common are known as ordinary or common shares (US common stock). When an investor buys a share, using the services of a specialist company or broker, he or she becomes a shareholder (US stockholder) and owns a part of (or has a stake in) a company. Shareholders can make money by receiving dividends, paid as a proportion of a company's annual profits, and when the value of their shares increases. ‘A company can also borrow money from investors by issuing bonds, loans for fixed periods with fixed interest rates. Securities refers to both shares and bonds. Each year billions of shares and bonds are sold or traded on the world's major stock exchanges. sews Historical Tra ewes A Transactions FE underined 16 ses detail a i le * ee ont ) ‘Sold WooThe Stock Market Lead-in 1 Many companies are authorised to use the stock exchange to trade their shares. Every day, the press gives prices and other information about the shares of these listed companies. Read the following newspaper headlines. In groups, decide whether each one reflects a good or poor performance of the company’s shares on the stock exchange. Example: GENERAL CINEMA SEES $20 MILLION GAIN The shares of this company are doing well since there has been a gain. ® KIR sales cond quarter sls imarove in second oe eee Dae, cut JOBS | @ INTERNATIONAL COMPUTING RISES } AMR peal FALLING “JONES AND SHIPMAN PROFITS ¢ r ioe RECORD HIGH xf ~~ Belle Cosmetics s fall in ees Scottish and Newcastle f nt _duarter es ight | report slight losses é ne ro cents) ° ” SELECT WINES HAVE Cc ae al Q Simmons and Simmons face disastrous J @ _year as sales continue slide 4 2 © You will hear Isobel Mendelson talking about investments that she has made on the stock market and her reasons for doing so. Listen to part 1 and complete the table. ‘Types of investment Reasons for investing = Listen to part 2. How does she check on her shares? Readin 1 You are going to read a text with the headline ‘Europeans Log On To going Investment Fever’. In pairs, discuss what you think the text is about. 2 Read the text on the next page and see if your ideas were correct. 8j 76 Europeans Log On To Investment Fever US Brokers Start to Target Continent By John Tagliabue LONDON ~ Alan English has an ‘addiction, and he is not ‘ashamed to discuss it. “Llog on every day, sometimes from the office, in the morning and in the evening,” said Mr English, 51, a computer consultant who is still hhooked* a year and a half after he began shopping for stocks over the Intemet. ‘Some days I trade four or five times a day.” ‘Mr English is one of a growing ‘number of Europeans with on-line investment fever. There is a stock ‘market boom at the moment, and as ‘Web surfing gains popularity across Europe, more and more people are logging on to shop for financial products, and buying and selling stocks. ‘Compared with the United States, ‘where about 20 percent of all stock trades are entered from the Internet, the movement in Europe is still in its infancy. But as the trend gathers ppace*, American Internet brokers have begun moving into Britain and increasingly are setting their sights ‘on the Continent as well. ‘Their atival poses a challenge for new European on-line trading firms. ‘Analysts expect it to accelerate* vast changes in the securities business that are already under way here as Europe becomes a single market. Nowhere is the trend more apparent than in Britain. In April, Charles Schwab Corp set up an on- line trading service, and in June, the E-Trade Group, based in California, announced a joint venture with a British partner, as well as licensing agreements in Germany. Other Internet brokers such as Ameritrade and DLJ Direct, are studying moves to catch up. “American brokers, under competitive pressure back home thats driving down profit margins, are being drawn the lucrative potential of Europe, were the idea ofa discount broker is sil rather novel, said Stephen Eckett, the author of Investing Online, a guide to Intemet investments. "Mr Eekett sid that fees at oll service brokers in Britain for the purchase of $10,000 of stock in 8 British company would amount to about $120, while the going éommission for making a similar September, complete with financial trade on the World Wide Web could information and real-time share be as low as $9 trading service Thovgh European investors can Philip Bungey, Head of Rescarch already use US online brokers | _% and Development at Barclays buy shares in the United States, the Stockbrokers, said Barclays would ‘American companies do not actively let customers trade in about 2,000 promote this business for fear of companies on the London Stock annoying European securities Exchange and the Altemative regulators. Thus al the start the 1 Investment Market a small- ‘American on-line brokers operating companies market. Inthe future, he in Burope, lke Schwab, are offering Std, Barclays wants to enable is theircustomers the chance to trade customers to trade electronically on only on individual European “American exchanges, lke exchanges, The long-range goal, 05 NASDAQ®. ‘ however isto expand the system into _ Increasingly, American online 4 truly global marketplace where brokers willbe squeezed* by the investors in any country will be able Yer revolution they have helped to trade freely in stocks across start. Mr Eckett predicts a ‘major national boundaries. While European 12 collapse’ of commission fees. He Tnteret usage tll lags beind® the _noted that in the United States, United States, its expected to grow commissions for Internet trades have rapidly in the next several years and _—_dipped as low as $5 a transaction Europe's single currency will foster? since Web trading surfaced about the spread of stock trading across 18 four years ago, “The same will national boundaries. The American ‘happen in Europe,’ he said, ‘as onlin firms, despite their aggressive consumers surf th Inteet in search ‘plans, will not have it easy. ‘of cheaper financial services.” Barclays ple, one ofthe largest British banks, wl be the first to fight off the competition when it launches its own on-line service in ‘New York Times *hooked: addicted ‘to gather pace: to move faster and faster “10 lag behind: to move more slowly than *to foster: to help sth. develop ‘to accelerate: to make sth. happen more quickly _*NASDAQ: A US electronic stock exchange ‘novel: new, unusual and interesting ‘to squeeze: to make it ficult for sb. to do businessVocabulary The Stock Market ® 3 Read the text again and answer the questions. 1 Why are more people taking an interest in the stock exchange? 2 What will make European markets change more quickly? 3. Why do American on-line traders operating in Europe restrict their dealings to European exchanges? 4 How are the European traders reacting to American competition? 5 What will the long-term effect on American brokers be? ‘| Match the words from the text with their corresponding definitions, 1. to log on (line 1 a profitable 2. aboom (line 12) b_ a dramatic reduction 3. to surf (line 13) an authority that supervises an industry 4 amove (line 42) d= to reach a total of 5 to catch up (line 43) € toconnect 6 lucrative (line 48) £ money that a customer pays for a 7 toamount to (line 57) service, usually a percentage of the total 8 commission (line 59) § a tactical change of position 9. a regulator (line 68) to move between different websites 10. a collapse (line 110) on the Intemet ia rapid expansion or development j to reach the person in front 2 Complete the passage about a transaction on the stock exchange using words from Key Vocabulary and Vocabulary 1. Some words may be used more than once. Janis Willams has decided to invest a part of her savings on the "skock market . She contacts a2 for further advice about how to do this, and he recommends a selection of different companies’ >__ that she might be interested in buying. He also explains how these companies have performed in the past and how much she can expect to receive in He tells her how the transaction will be carried ‘out and lets her know how much she will have to pay for the service. Once Janis has agreed to the terms, he contacts his representative on the stock exchange, who arranges the transaction. At the end of the day the transaction has been completed and Janis has become aVocabulary development: phrasal verbs 1 Look at these examples of phrasal verbs from the text. in April, Charles Schwab Corp set up an on-line trading service... Barclays pe... wil be the first to fight off the competition... (line 89) Are the verbs in bold a transitive (followed by an object)? or b intransitive (not followed by an object)? 2. Replace the words in italics with a verb from A and a particle from B in the correct form. A B point buy out. on think look |] over about call (x2) let off down go up after a The meeting has been cancelled because several people are unable to attend. called of b_ We already own 30% of the company’s shares and we intend to purchase at least another 20% in the coming year. © The new subsidiary in Bahrain will be supervising our operations in the Middle East. It will be a difficult conference to organise. How shall we start doing it? Well need some more time to reflect upon your proposal before we can sive you an answer. In her presentation she drew attention to some of the problems that the project would involve. -sales representatives will visit you next week. company has disappointed investors by announcing anThe Stock Market Language Focus The third Look at these sentences and answer the questions. conditional 4 ifr had sold my shares aftr six months, I would have made a lot of money: 1 Does this sentence refer to the past or now? Did the person sell the shares? Did the person make a lot of money? Does this sentence refer to the past or now? Did the person take risks? Did the person lose money? >> For more information on the third conditional, turn to page 167. 2 3 B If I hadn't taken so many risks, ! wouldn't have lost so much. 1 2 3 Practice Look at the charts and graphs and write complete sentences using the prompts. Example: I spent £10,000 on a holiday this year. TS ESOT) If / open a savings account / receive ... oat If I had opened a savings account with £10,000, ees I would have received 9.35% interest. Sea erence ten 1 In 1998 you were a cashier at Fashion ears e ey? £500 - World Clothing, If / be / assistant manager / earn .. 2 [took flight AF615 to Paris and was late. for | 1) coumas If/ take flight / BD493 / arrive wos PaMS tne average price of a 1995 Renault moss) PAS ote £12,000, muss2 NEWYORK detved IC oo ee 3 [sold my Renault in 1999. eo If / sell it / 1997 / get. average price of a PC ait OtOEa PoiSae sp PE 4 bought my PC in 1997. If / wait until 1999 J pay sie ‘Marks and Sparks: dividends per ‘ordinary share (in pene) 6s 5 [sold my M&S shares in 1998. If / not sell / receive ... in 1999. = 35 50. 1997 1998999 79Potala Yet, still, already Practice Reading Look at these sentences. Mr English is stl hooked a year and a half after he began. Have you bought shares in your company yet? I've already checked the FISE 100 prices. He still hasn't subscribed to the internet dealing service. Thaven’t made any profit on my shares yet. European investors can already use US on-line brokers. aneene Complete the rules using still, already, yet. a We use to emphasise that a situation continues at the time of speaking. b We use_____to emphasise that a situation started, or something was done, before the time of speaking. © We use _____(at the end of the sentence) to emphasise that something hasn't happened after some time. d_ We use ___ when asking questions about whether something has happened or not. Correct the mistakes in these sentences. 1. Have you made any money alsaady? yet 2 Lam yet thinking about investing on the stock market but can’t make up my mind. Ihave contacted a broker still and he has given some very good advice. He already hasn't bought anything on the European exchanges. I'm very pleased with my shares; they've gone up yet. Now that you've lost so much money, do you yet think it’s a good idea to invest ‘on the stock exchange? Skills Focus Many newspapers have a financial section which includes information about the share prices of listed companies. This information enables you to follow the progress of any shares that you own or may be thinking of buying. Read the explanation of the listing opposite and answer the questions. anne 1 What was the closing price for each of the following shares? a Cadbury-Schweppes 15.0 © Black Arrow b Allied Zurich Care UK 2 For each of the five sectors, which shares had the greatest change in price (increase or decrease) compared with the previous day's price? 3. Which of the following household goods companies is furthest from its highest price for the year? a Allied Text © Reckitt and C b Comwell Pkr d Stoves 4 Which insurance company has a the highest yield? b the lowest yield? 5. What is the price / earnings ratio for each of the following shares? a. International Energy Group ¢ Isotron b Cox Insurance Associated British FoodsSector Companies are {grouped according to sector, for example Insurance, Building, Banks, Electricity. High / Low ‘These columns show the highest and lowest prices (in pence) for the shares during the current year. For example, ‘when this information was published the highest, price at which Unilever shares had been bought and sold was 712 and the lowest price at which they had been bought and sold was 400 pence. 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GMinsirfnd 2a 35 22 coxinsce wo 18 Donaced 600 100 Eilon tmp to Soshawtinsrys 118000 ne a) ‘The Independent Price Yield ‘This shows the price of the share as it stood at the close of business yesterday. For ‘example, Unilever closed at {600 pence. The yield shows how much shareholders can expect to receive as a Price-Earnings ratio This figure refers to the relationship between the current market price of a share and the profit, ‘earned by the company over the most recent year. For ‘example the price of a Unilever share is 38.7 times the earnings per share for the most recent year. The PE is often Used to compare companies in the same industry. Change This shows how much the closing price of the share changed in ‘comparison with the previous day's closing price. For ‘example, Unilever closed 15 pence higher than the previous day. dividend, in pence, for every £1 invested (based on the current share price. In other words, if you own £100 worth of shares in Unilever and the share price remains constant, you can expect to receive a dividend of £1.80. 81